T&E Items 1,2 & 3
June 22, 2015
Worksession 6
MEMORANDUM
June 18,2015
Committee members should bring the packet and addenda from the January 26, February
9, February 27, March 10, and June 8 worksessions.
TO:
FROM:
Transportation, Infrastructure, En,i;b
~nvironment
Committee
Josh Hamlin, Legislative
Attom~
SUBJECT:
Worksession: Expedited Bill 53-14, Taxicabs - Licenses - Vehicle Requirements
- Driver Identification Cards; Bill 54-14, Taxicabs - Transportation Network Service
Requirements; and Bi1155-14, Taxicabs - Centralized Electronic Dispatch System.
Expedited Bill 53-14, Taxicabs
Licenses
Vehicle Requirements - Driver
Identification Cards sponsored by Council members Floreen, Berliner, Riemer, and then Council
President Rice; Bill 54-14, Taxicabs - Transportation Network Service - Requirements,
sponsored by Councilmembers Berliner and Floreen; and Bill 55-14, Taxicabs Centralized
Electronic Dispatch System, sponsored by Councilmember Riemer, were introduced on October
28,2014. A public hearing on all three Bills was held on December 2,2014. Prior worksessions
on the Bills were held on January 26, February 9, February 27,2015, and March 10,2015.
Expedited Bill 53-14 would:
permit the holder of a neet Passenger Vehicle License to grant a sublicense to another
person;
increase the age limits for vehicles used as taxicabs;
amend certain requirements for color and markings of vehicles used as taxicabs;
allow software-based meters to be used in taxicabs; and
amend certain requirements for temporary identification cards for taxicab drivers.
Bill 54-14 would:
require a transportation network application company to obtain a license to operate in the
County;
require a transportation network application company and transportation network
operator to meet certain registration requirements;
require a vehicle used to provide transportation network service to meet certain standards;
require a transportation network application company and transportation network
operator to
be
insured; and
require a transportation network application company and transportation network
operator to meet certain accessibility standards.
 PDF to HTML - Convert PDF files to HTML files
Bill 55-14 would require the County Department of Transportation (DOT) to implement a
centralized electronic taxicab dispatch system, and permit the Director to require certain taxicab
operators to participate in the centralized electronic taxicab dispatch system.
December 2, 2014 Public Hearing
The T&E Committee held a public hearing on all three Bills on December 2,2014. There
were 30 speakers at the hearing, representing a wide range of perspectives on the issues covered
in the Bills. Public hearing testimony is summarized and included in the packet for the January
26 worksession.
January 26, 2015 T&E Worksession
The Committee held its first worksession on the Bills on January 26, 2015. The packet
for that worksession raised a number of issues of common concern to the owners and operators
of "traditional" regulated taxicabs and the TNCs and drivers that Bill 54-14 would regulate.
These issues also encompass many of the amendments to existing law regulating taxicabs that
are proposed in Expedited Bill 53-14. The Committee discussed the issues of insurance,
fares/ratesetting, driver background checks, and began discussion of the question of licensing
both TNCs and TNC drivers.
February 9, 2015 T&E Worksession
The Committee held a second worksession on the Bills on February 9, 2015.
In
that
worksession, the Committee discussed licensing, vehicle standards, data and trip records, and
customer service, as well as proposed changes to Chapter 53 received from the Coalition for a
Competitive Taxicab Industry ("CCTI") after the introduction of the Bills.
February 27, 2015 T&E Worksession
The Committee held a third worksession on the Bills on February 27, 2015.
The
Committee discussed several of these issues raised by a number of taxicab drivers through the
Montgomery County Professional Drivers Union ("MCPDU") about their relationships with
taxicab companies at that worksession. Specifically, the Committee considered:
(1)
whether to
set caps on lease rates for taxicabs; (2) whether to permit taxicab drivers to use their own credit
card processing terminals, and whether to cap rates that fleets may charge their drivers for credit
card processing; (3) whether to limit other charges imposed on drivers by fleets; (4) whether the
County should develop and require the use of uniform lease contracts; (5) whether the dispute
resolution currently required to be provided for in operating agreements between fleets and
drivers should include binding arbitration; and (6) how best to ensure the availability of
accessible transportation with the entry ofTNCs into the market.
March 10,2015 T&E Worksession
On March 10, 2015, the Committee held a fourth worksession on the Bills. At that
worksession the Committee discussed elements of Councilmember Riemer's proposal
concerning digital dispatch, various driver protections, and the issuance of 200 new PVLs to
2
 PDF to HTML - Convert PDF files to HTML files
individuals. The sublicensing of PVLs was also discussed, without resolution, in the March 10
worksession.
June 8, 2015 Worksession
At the June 8 worksession, the Committee considered a substitute bill including
provisions that the Committee had, by straw vote, tentatively resolved to include in the bill sent
to full Council. These provisions fall into three categories: (1) amendments to ease certain
regulatory requirements to allow taxicabs to better compete with the TNCs that have entered the
marketplace, including provisions from Bill 53-14; (2) amendments related to the establishment
of a centralized electronic dispatch system contained in Bill 55-14; and (3) amendments intended
to improve conditions for drivers that do not own their own PVLs. The Committee also
considered provisions that were included in the original bills or raised in prior worksessions, but
remained unresolved.
The Committee revisited some of the tentatively resolved issues, and voted to delete
provisions deregulating fares for taxicabs scheduled through digital dispatch and allowing
impoundment of vehicles as an enforcement measure. A provision in the substitute bill
eliminating the requirement for drivers to retain trip records was modified to retain the
recordkeeping requirement, but remove the requirement that the records
be
"original paper"
records. Also, the substitute bill would permit drivers to use their own credit card processing
systems, and the Committee added a requirement that any such system be compliant with
applicable tax laws, accept payment through County user-side subsidy programs, and be
approved by the Department of Transportation.
In addition to the tentatively resolved provisions, the Committee decided a number of the
issues discussed in the packet for the worksession. Specifically, the Committee decided to:
1. modify the disqualifying offenses for holding a PVL or driver identification card,
deleting "violation of any gaming law," and amending the controlled dangerous
substances offense from "any offense" to "felony;"
2. include express language clearly stating that Chapter 53's prohibition of cross-ownership
of fleets or associations does not prohibit a fleet or association from providing for-hire
transportation services other than taxicabs;
3. amend the requirements that a fleet or association maintain its own separate facilities to
allow for cost-sharing and increase efficiency and economy;
4. delete the provisions related
to
"special licenses" which have never been issued and have
been determined to be essentially unworkable;
5. strengthen Chapter 53's "continuous operation" requirements to include:
• an express requirement that a licensee must own a taxicab associated with each
license unless a sublicense
has
been granted;
• an affirmative statement that each licensee must keep each licensed taxicab in
continuous operation as defined by the Department based on miles driven; and
• a requirement that, if the Department rejects an application
to
keep a taxicab out
of service for more than 30 days, the licensee must promptly reinstate the taxicab
in service or return the license.
3
 PDF to HTML - Convert PDF files to HTML files
6. reconstitute the defunct Taxicab Services Advisory Committee as the "Taxicab Services
Commission" with specific responsibility to conduct a comprehensive biennial review of
the taxicab industry including recommendations on changes
to
the law related to:
• changes to the number of licenses in circulation;
• changes in taxicab rates;
• changes in fees;
• changes in insurance requirements;
• changes to the accessibility requirements;
• changes to the affiliation and dispatch requirements; and
• any other changes that the Commission determines would improve the delivery of
taxicab services.
7. remove restrictions on the transfer of PVLs that:
• require a licensee to hold a PVL for at least three years before transferring it; and
• limit the number ofPVLs held by individuals to 30% ofPVLs in effect.
Amended Substitute Bill Provisions
The amended substitute bill
(~549-586)
for Committee discussion incorporates the
changes recommended by the Committee at the June 8 worksession, and specifically includes the
following provisions that would:
Amendments to be made by Bill 53-14:
• allow sublicensing ofPVLs (lines 203-218; 275-292);
• increase the age limits for vehicles used as taxicabs (lines 655-656; 658; 663);
• amend certain requirements for color and markings of vehicles used as taxicabs (lines
554; 673-675; 681-700);
• allow roof- or dashboard-mounted removable cruising lights to be used (705-710);
• allow software-based meters to be used in taxicabs (lines 716-724);
• amend certain requirements for temporary identification cards for taxicab drivers (lines
739-797);
Amendment to be made by Bill 55-14:
• require the Director of DOT to establish a centralized electronic dispatch system (lines
144-165);
Other amendments requested by CCTI:
delete the driver examination (lines 760; 801-808);
eliminate
paper
manifest requirements (lines 836-848);
change required inspections from every six months to every 12 months (line 730);
eliminate the customer service requirements (which have never been fully implemented)
(lines 92-143; 347-348; 358-359; 364; 367-368; 378-379; 382-383; 556-559; 566-620;
857-858; 884-885);
4
 PDF to HTML - Convert PDF files to HTML files
Other amendments to improve conditions for drivers:
• require the Executive to establish, by method (2) regulation, standardized lease/affiliation
agreements (lines 168-172; 373-375);
• require the Executive to set lease caps and ancillary fees (lines 171-200; 414-415);
• provide for one-year maximum terms on agreements between licensees and affiliates or
drivers (line 389);
• allow drivers to use their own system for processing credit card transactions (lines 390­
391);
• prohibit automatic renewal of agreements between licensees and affiliates or drivers (line
392);
• prohibit credit card processing charges to drivers greater than 5% of the transaction (lines
412-413);
• provide for a mandatory dispute resolution process, culminating in binding arbitration
(lines 393-410; 416-534).
Additional Committee amendments from the June 8 worksession (discussed above)
• modify the disqualifying offenses for holding a PVL or driver identification card (326­
341; 881-882);
• include express language providing that cross-ownership prohibition does not prohibit a
fleet or association from providing for-hire transportation services other than taxicabs
(lines 221-223);
• amend the requirements that a fleet or association maintain its own separate facilities
(lines 537-552);
• delete the provisions related to "special licenses" (lines 14-16;293-325);
• strengthen Chapter 53's "continuous operation" requirements (lines 623-633; 654);
• reconstitute the Taxicab Services Advisory Committee as the Taxicab Services
Commission and require a biennial review of the taxicab industry (lines 8-9; 18-86; 90;
855; 864; 868)
• remove certain restrictions on the transfer ofPVLs (lines 236-238; 242-244; 245-259)
• require credit card processing machines to be
tax
law-compliant, accept payment through
County user-side subsidy programs, and be approved by the Director (824-834).
Issues for Committee Discussion
in
this Worksession
There are several issues remaining for Committee discussion. First, there are a number of
generally technical amendments requested by DOT - primarily amending and adding definitions,
and clarifying certain enforcement provisions. The Committee will also return to its
consideration of the licensing regime under Chapter 53: transferability, issuance/reissuance, and
sublicensing of PVLs. Finally, the Committee must decide if, and in what form, the centralized
electronic dispatch system proposed in Bill 55-14 will be implemented.
Guide to prior attachments: Circle numbers referenced up to 230 are in the January 26
worksession packet, and circle numbers 231-258 are in the January 26 addendum. Circle
numbers 259-310 are in the February 9 worksession packet. Circle numbers 311-383 are in the
February 27 worksession packet, circle numbers 384-435 are in the February 27 addendum, and
5
 PDF to HTML - Convert PDF files to HTML files
circle numbers 436-441 are in the February 27 addendum
#
2. Circle numbers 442-483 are in the
March 10 worksession packet. Circle numbers 484-548 are in the June 8 worksession packet.
DOT-requested amendments
DOT has requested a number of amendments to defmitions, and the addition of definition
for the term "individual licensee" (©594-595, lines 1-27). These changes would allow for an
individual to hold up to five PVLs before being required to form a fleet or association, clarify the
types of business organizations that may operate as a fleet and hold PVLs in their own name, and
clarify the definition of "taxicab service" to aid enforcement against unlicensed for-hire
transportation providers. DOT has also requested an amendment to § 53-218, "Quarterly
Accident Reports" to expand the quarterly reporting requirement to include mileage driven by
each taxicab (©595, lines 28-36). This amendment is necessary to implement the mileage-based
definition of "continuous operation" that the Committee has decided to include in the bill.
DOT also requests removal of the provision allowing the Director to waive the
requirement that a fleet or association participate in the County's user-side subsidy programs
(©595, lines 37-41), and amendments to clarify § 53-311, "Taxicabs from other jurisdictions"
(©595-596, lines 42-57). Amendment to § 53-505, "Accessible taxicab trip records" is also
requested (©596, lines 59-64), to make the section's requirement consistent with the
Committee's recommended deletion of the requirement that trip records under § 53-315. Finally,
DOT requests amendments to §§ 53-604 and 53-702 to clarify the grounds for suspension or
revocation of a license or identification card and the process for a hearing on a suspension or
revocation (©596-598, lines 65-107).
How should the issues surrounding PVLs be resolved?
The structure of the licensing regime in the County is the most complicated issue
remaining for Committee consideration.
It
involves several sub-issues: transfers, new issuance,
reissuance, and sublicensing. Many of these sub-issues have been discussed by the Committee in
prior worksessions, but most remain unresolved. There has been a great deal of discussion in
worksessions about the prospect of increasing the proportion of individual owner-drivers, and if
the Committee takes that as a primary objective, each sub-issue should be considered with that
goal in mind. Barwood has submitted a document illustrating the ways drivers may obtain PVLs
(©532).
• Should the current restrictions on PVL transfers be relaxed?
Should the
jleetlindependent driver balance be altered to permit more individual PVL holders?
Under current law, all transfers of PVLs must be approved by the Director of DOT, and
the law prohibits the Director from approving a transfer of any license if the transferee already
holds, or would then hold, more than 40% of the total number of licenses then in effect. It also
prohibits the approval of the transfer of a license to an individual of a license issued to a fleet if:
(1) the same fleet has already transferred more than two licenses to individuals during that
calendar year; or (2) the transfer would result in individuals holding more than 30% of the total
number of licenses then
in
effect. Finally, the law generally prohibits the approval of a transfer
of a license if the license was issued or transferred
within
the previous three years.
6
 PDF to HTML - Convert PDF files to HTML files
CCTI submitted a "white paper" that included discussion of the issues related to
transferability ofPVLs (©379-383).
In
the paper, CCTI argues for a limited number of taxicabs,
citing positions stated by County consultant Bruce Schaller. CCTI's positions are that allowing
PVLs to have transfer value is intrinsic to the established taxicab market, and that transferability
of PVLs is critical to the viability of taxicab companies. Accordingly, the CCTI Draft includes
amendments to Section 53-204 that would remove the above-described restrictions on the
transfer of PVLs. Transfers would still be subject to the approval of the Director under the
process set forth in Section 53-204(b) as follows:
(b)
A license may be transferred only if:
(1)
the licensee notifies the Department in writing of the proposed
transfer not less than 30 days before the date of the proposed
transfer, specifying all terms and conditions of the proposed
transfer and the identity ofthe proposed transferee;
(2) the Director finds that the proposed transferee meets all
requirements ofthis Chapter and applicable regulations; and
(3) the licensee surrenders the license when the Director approves the
transfer.
The provisions remaining in question are as follows:
§
53-204(d)
Limitation on fleet-to-individual transfers. At the June 8 worksession, the
Committee decided to remove the limit on individual PVL holders to 30% ofPVLs in effect, but
did not resolve subsection 53-204(d)'s restriction on the transfer of PVLs from fleets to
individuals to no more than two per year. This restriction is based on the two-fold rationale of
preventing fleets from taking windfall profits based on the market prices of the licenses and
limiting the fragmentation of the taxicab industry. The market forces in 2004, when these
provisions were enacted, clearly differ from those today. Certainly, the market value of PVLs
has diminished with the entry of
mcs
into the marketplace, and the increasing number on
individual 1NC drivers may render the attempt to prevent the fragmentation of the industry
futile. Staff believes that deleting this transfer restriction is appropriate, particularly if there is a
desire to increase the proportion of individual owner-drivers. The Berliner amendments would
delete this limitation. (along
with
an obsolete provision that modified it),
©587-588,
lines
12-34.
DOT has suggested that if the restriction is removed, language should be added to
Chapter 53 to provide that if a licensee transfers a PVL, that individual is either never eligible to
obtain a new PVL, or not eligible to obtain a new PVL for an extended period of time. Current
§
53-211(k) requires, as part of a fleet license application, an applicant to attest that the applicant
has not transferred any PVL "during the previous 24 months." This subsection could be
amended to provide for a longer period, or provide that the applicant has never transferred a
PVL, and an identical provision could be added to § 53-209, governing individual license
applications. If the Committee decides to adopt either suggestion, staff recommends adding an
express provision to § 53-204 in addition to amending the sections related to license applications.
§
53-204(e) - Prohibition on transferee's holding more than 40% of PVLs. The current law's
restriction on a transferee holding more than 40% of the licenses in effect is a clear attempt to
prevent a consolidation in the industry, which would lead to diminished competition and
presumably less incentive to deliver quality service. Again, with the entry of
mcs
to the for­
7
 PDF to HTML - Convert PDF files to HTML files
hire transportation market, competition for a large, and likely growing, percentage of the rides
l
is
essentially guaranteed, regardless of any consolidation of existing licensees. However, staff
believes that it remains important
to
prevent consolidation to promote competition in the taxicab
industry, and recommends retaining this restriction.
Should the County issue new licenses? How many, and to whom?
Councilmember Riemer has proposed to require the issuance of 200 PVLs to individuals
who only own one PVL in 2016. He also proposed that future new issuances be made with 50%
of new PVLs going to individuals, and 50% going to fleets (©357-358). MCPDU, in a letter to
the Committee dated June 1 (©534), expressed support for the issuance of 200 new individual
PVLs. In a letter to Councilmember Berliner dated February 26, 2015 (©466-470), David
Mohebbi, president of CCTI, advocated a new PVL issuance to both fleets and drivers, and urged
the retention of transferability of PVLs.
In
its March 5 position paper, CCTI specifically
addressed the proposed issuance of 200 new licenses in 2016, contending that adding 200 new
taxicabs would "significantly [negatively] affect driver income." (©471-474). PVL holder and
driver Jaynul Islam, on behalf of a group of lessee- and owner-drivers, submitted a list of
concerns on June 3 (©547), including a statement of opposition to the issuance of 200 new
licenses, saying that it would reduce driver income and destroy the value of PVLs. CCTI
recommended the issuance of 100 new licenses in 2016, with future issuances made in
accordance with the existing provisions of
§
53-205. CCTI also supports the Riemer proposal's
allocation of future license issuances of 50% to individuals and 50% to fleets (©473).
The issuance of a significant number of individual PVLs would have the effect of moving
the County away from the fleet-based model that was discussed and adopted when the County
last comprehensively revised Chapter 53 in 2004. Two memoranda from Bruce Schaller, the
consultant engaged by the County to study the County's taxicab market as part of its 2004
revision, are particularly pertinent to this discussion (©364-373, 374-378). For a specific
discussion of fleet- vs. individual driver-based systems, see ©376. The Committee should
consider whether circumstances have changed sufficiently or otherwise warrant a move away
from a fleet based model. The entry of a large (or unlimited) number of TNCs into the market
may have sufficiently altered the landscape to abandon the current fleet/individual balance.
However, in the absence of the self-regulating rating system used by TNes, it does seem likely
that a de facto removal of the cap on licenses (as the issuance of 200 new individual licenses
would seem to do) could lead to diminished customer service.
If
the Committee desires to increase the proportion of individual PVL holders, it should
consider alternatives to the issuance of a large quantity of new individual licenses without
consideration for the public need. Given the persistent allegations of large numbers of fleet
taxicabs sitting idle, the Committee might consider whether it is more desirable to issue a smaller
number of new individual licenses and then reclaim, through revocation or nonrenewal, and
redistribute "idle" licenses through more active enforcement or strengthening of the continuous
operation requirement as previously discussed.
TNCs do not compete with traditional taxicabs for street hails, or rides booked by telephone, but the number of
rides booked by app-based dispatch is growing and, for a variety of reasons, will almost certainly continue to grow.
1
8
 PDF to HTML - Convert PDF files to HTML files
The Berliner amendments would require the new issuance of 50 licenses to individuals
who do not already hold a license by June 1, 2016 (©593, lines 172-174), and change the
proportion of individual PVLs in future issuances from 20% to "at least 50%" ©518, line 181).
• Should the reissuance of revoked or non-renewed PVLs be treated differently than a
new issuance?
Current law in Section 53-210 establishes a rolling process for reissuing licenses, with
licenses reissued based on an "eligibility list" with eligible drivers ranked by seniority.
However, references to "reissued licenses" in Section 53-205, "Periodic Issuance of New
Licenses," makes it unclear how revoked or non-renewed PVLs would be reissued. If, as part of
a plan to create more opportunities for individual drivers to own PVLs, the County is seeking to
"reclaim" underutilized PVLs and issue them to eligible drivers, clarification of the reissuance
process is in order. The Berliner amendments would clarify the difference in processes for new
issuance and reissuance by removing references to reissued licenses in Section 53-205 (©589­
590), and creating a new section providing for the reissuance of revoked or non-renewed PVLs
on a rolling basis (©590-591, lines 101-124). In order to retain the current number oflicenses in
circulation over the longer term, the Berliner amendments also include language providing that
no licenses may be reissued until after 50 have been revoked or not renewed (©593, lines 175­
177).
• Should the sublicensing ofPVLs be permUted?
The substitute bill includes the provisions of Bill 53-14 that would amend existing law to
allow a fleet PVL holder to grant a sublicense to a vehicle owner to provide taxicab service
under the license. See lines 276-292 at ©561-562. This amendment is an effort to ease the
capital costs of fleets by allowing fleets to permit a taxicab driver who owns their own taxicab
vehicle to drive the taxicab under the authority of the fleet's license. Fleets could then operate
more like TNCs, but using licensed taxicabs. Current law requires that a license be issued only
to the owner of each taxicab.
Some jurisdictions that use medallion systems, such as New York and Chicago, permit
such arrangements as "medallion-only leases." Allowing the use of fleet PVLs by owners of
taxicabs through sublicensing could have the desirable effect of getting more taxicabs on the
road by giving fleets more flexibility in the way the PVLs are used.
It
would also allow taxicab
owner/drivers the option of driving their vehicle without having to purchase a license outright.
Bill 53-14 would require approval by the DOT Director of each grant of a sublicense, and
grantees are subject to all requirements of PVL holders, which should provide necessary
oversight of such arrangements.
Stakeholder positions: CCTI
supports sublicensing as a means to afford PVL holders
more flexibility in the use of their PVLs, which would result in more taxicabs on the road.
In
his
February 27, 2015 letter to Councilmember Riemer, Acting Director Roshdieh stated that
DOT
"has no objection [to sublicensing] as long as drivers have an opportunity to seek legal counsel
of the contract in advance of its execution and the term of the sublicense does not exceed the
term of the PVL" (©437). Since the March 10, worksession, DOT staff have expressed the view
that sublicensing will have a favorable impact on the riding public because of the increased
ownership interest in the business held by sublicensees,
i.e.,
drivers will take better care of
9
 PDF to HTML - Convert PDF files to HTML files
vehicles that they own. MCPDU opposes sublicensing, saying that it would shift costs and risks
to drivers (©534-538). The group of drivers represented by Jaynul Islam supports sublicensing
as a means to "maximize the use ofPVLs that are already on the market, give taxi drivers a stake
in ownership, and generate revenue for affiliates and fleets" (©547-548).
Staff believes that allowing sublicensing would have the effect of getting more taxicabs
on the road, and would create an intermediate step for drivers who seek more independence than
exists under a leased vehicle arrangement, but either don't desire or are unable to obtain a PVL
outright. There is a risk for sublicensee drivers in that they will bear the significant cost-burden
of vehicle ownership without the basic assurance of renewal that PVL holders enjoy: a PVL
holder could decline to renew a sublicense agreement at the end of its term, leaving the driver
with a vehicle but no legal means to operate it as a taxicab. Also, allowing sublicensing would
likely permit PVL holders to avoid losing the PVLs due to lack of use under the bill's enhanced
continuous operation requirements. This could
be
an impediment to any desire to shift
underutilized PVLs from fleets to individual holders. The sublicensing issue is a matter of
competing priorities getting more taxicabs on the road quickly vs. increasing the proportion of
individual PVL holders by reclaiming underutilized PVLs and reissuing them to individuals.
If the sublicensing is included in the bill, staff recommends including a limitation of the
length of a sublicensing agreement to the term of the PVLs, as recommended by DOT, and
including sublicensing in the uniform agreements and maximum rates provisions of Section 53­
111.
• Should the County establish a fund to provide relief to PVL holders that can show a
significant decline in valuefrom the price that they paidfor the license?
Councilrnember Riemer proposed to establish a "licensee reimbursement fund" to
provide relief to PVL holders who can demonstrate a significant decline in value of their licenses
from the purchase price (lines 68-73 at ©354). The intent of this fund would be to assist the
estimated 40 individuals who purchased PVLs from fleets at market prices in prior years, and
have seen the value of the PVLs decline precipitously since that time. Because
it
is likely that a
Council bill will be introduced in the near future related to the County charge on TNC rides
authorized in the new State
mc
law, staff believes that it would be appropriate to defer
discussion of this proposal. Because the revenue generated from the TNC charge must be used
for "transportation purposes," it may be possible to use some of the revenue to implement the
fund Councilmember Riemer has proposed.
Should the County establish a centralized electronic dispatch system? How?
The substitute bill includes the provisions of Bill 55-14 pertaining to the establishment of
a centralized electronic dispatch system. This represents an effort to adopt a program being
pursued in Chicago and the District of Columbia (©191-195), and considered in New York City
(©196-197), to create a digital dispatch system for all taxicabs. The intent of the Bill is twofold:
(1)
create a mechanism by which currently-regulated taxicabs can deliver taxicab services in a
manner competitive with TNCs; and (2)
be
a part of a uniform regional dispatch system that
would better serve the transportation needs of passengers in the Washington, DC metropolitan
area.
10
 PDF to HTML - Convert PDF files to HTML files
In
his February 23 proposal, Councilmember Riemer, in addition to requesting
Committee support for many driver protection measures, requested that Bill 55-14 be amended to
require preference given to a vendor providing a dispatch using open standards, and a vendor
providing a dispatch that can include the most jurisdictions in the Washington, DC metropolitan
area. The Riemer proposal would also remove the requirement that a fleet or association provide
a dispatch service, and the requirement that all drivers must drive for or affiliate with a fleet or
association. CCTI opposes the preference for a vendor providing a dispatch that can include the
most regional jurisdictions, instead arguing that vendor selection "should be based entirely on the
quality and cost of the system sold (©472).
The D.C. regulations require the establishment of a taxicab cooperative,2 while Bill 55­
14, modeled on the Chicago law, merely requires the establishment of a centralized electronic
dispatch system by DOT. DOT would have the option of contracting with a third party to
provide the service through the County procurement process.
3
The Bill is drafted to impose a
general requirement, and leave the details of implementation to DOT. DOT
has
expressed
objection to this approach, saying that it puts the Department in the position of being a
participant in the market, rather than a regulator. As an alternative, DOT has suggested that
CCTI should administer the dispatch.
There is not a clear example of successful implementation of a centralized dispatch,
because it is a new concept. Staff believes that the general approach embodied in Bill 55-14 is a
viable way to establish an operational system. Staff does not believe that having CCTI
administer the system is a better alternative, particularly if one of the objectives of this Bill is to
foster driver independence and facilitate the establishment of a driver association as an
alternative to the existing fleets. Staff believes that the vendor preferences in the Riemer
proposal would further the goal of greater regional interoperability of the dispatch, which would
allow taxicabs to better compete with mcs and improve customer service. Staff therefore
recommends their inclusion should the Committee elect to pursue a centralized electronic
dispatch in the proposed form.
The removal of the dispatch and affiliation requirement proposed by Councilmember
Riemer are premature, in staff's view. Removing these requirements on the assumption that an
untested alternative to the existing fleet dispatch systems could present problems both for riders
and for DOT, as its current enforcement model depends in part on the affiliation requirement. It
may be appropriate in the future, once a centralized electronic dispatch is up and running, to
revisit this issue. The Commission proposed by Councilmember Berliner would, as part of its
biennial review of the industry, consider making recommendations related to changes in the
affiliation and dispatch requirements.
Councilmember Riemer may propose a revised method of implementing a centralized
dispatch (©599-600). The revised proposal represents an attempt to accommodate DOT's
reluctance to being involved in the taxicab dispatch business via the existing proposed
requirement that the Director "establish" the system. The revised proposal would permit the
2
http://dctaxi.dc.gov/sites/default/files! dc!sites!dc%20taxi/event content/attachments/Chapters 16and99.pdf
3
Chicago has issued an RFP for its Taxicab Dispatch Application "E-Hail" Program and Centralized Wav Taxicab
Dispatch Service, with proposals due on June 5, 2015:
http://www .cityofchicago .org/city/en!deptslbacp/provdrs/vehic/alerts/20 IS/maY/request-for-proposals--rfp-- for­
taxicab-dispatch-application-e-h.html
11
 PDF to HTML - Convert PDF files to HTML files
approval
of one or more third-party systems, provided that the approved systems meet certain
requirements. The revised proposal would require an approved system to:
• offer an Application Programming Interface that allows other approved systems to
dispatch all drivers using that system;
• dispatch the taxicab closest to the person requesting service, regardless of which system
that taxicab is using;
• adequately protect the privacy of passengers and the security ofpassengers and drivers;
• allow only licensed taxicab drivers to use the system;
• upon written authorization from a driver, deduct an amount designated by the driver from
the driver's fare reimbursement and forward that amount to a third party trade or
advocacy organization designated by the driver;
• maintain, and make available to the Director upon request, verifiable records, in a form
prescribed by the Director, summarizing responses to requests for service made under the
system.
• provide users with an option to see and request an accessible taxicab; and
• be accessible to the blind and visually impaired and the deaf and hard of hearing.
The revised proposal would require all licensed taxicab drivers to use or participate in an
approved system, but would not prohibit them from using other dispatch systems in addition to
an approved system.
It
would also permit approved systems to charge processing fees as allowed
by regulation.
The revised proposal would depend on the private sector responding to produce an
application that meets the approval requirements. There are already a number of active market
participants in this sector operating in the United States, including mytaxi , Curb (formerly
Taxi Magic), Easy Taxi, .and Flywheel. In addition, "aggregation" apps have also started to
appear, which provide access to a number of different taxi services.
It
is likely that many of
these applications could be easily modified to meet the approval requirements. While noting
again that there is not yet a model for successful implementation of a centralized electronic
taxicab dispatch, staff believes that the revised proposal addresses DOT's concerns while still
presenting a means to have a working system in place in a reasonable period of time.
Should the insurance requirements be changed?
CCTI has requested that Section 53-225 be amended to require insurance in the same
amounts required for taxicabs by the PSC, rather than in amounts required by regulation.
Current County insurance requirements are as follows: $100,000 for bodily injury or death, each
person; $300,000 for bodily injury or death each accident; and $25,000 for property damage.
COMCOR 53.40.01.01. PSC-required insurance is as follows: $25,000 for injury to anyone
person; $50,000 for injuries to two or more persons; and $10,000 for property damage. COMAR
20.90.02.19 (Baltimore City and County) and COMAR 20.90.03.17 (Cities of Hagerstown and
Cumberland). The proposed change represents a significant reduction in coverage amounts, and
may not provide adequate protection for passengers or the general public.
12
 PDF to HTML - Convert PDF files to HTML files
This packet contains:
Amended Substitute Bill
Remaining Berliner Amendments
DOT Requested Amendments
Revised Riemer Proposal
F:\LAW\BILLS\I4S4 Taxicabs - Transportation Network Service\T&E Memo 06.22.IS.Doc
Circle
#
549
587
594
599
13
 PDF to HTML - Convert PDF files to HTML files
Bill No.
xx-14
Concerning: Taxicabs - Licenses ­
Vehicle Requirements - Driver
Identification Cards
Revised:
Draft No.
Introduced: _ _ _ _ _ _ _ __
Expires: _ _ _ _ _ _ _ _ __
Enacted: _ _ _ _ _ _ _ __
Executive: _ _ _ _ _ _ _ __
Effective: _ _ _ _ _ _ _ __
Sunset Date:
-~~--"7----
Ch. _ _, Laws of Mont. Co. _ __
COUNTY COUNCIL
FOR MONTGOMERY COUNTY, MARYLAND
By: .
AN
ACT to:
(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8)
(9)
require the Department of Transportation to implement a centralized electronic
taxicab dispatch system;
require the Executive to establish uniform lease and affiliation agreements, set
maximum lease and affiliation rates, and compile a list of types and amounts of
other charges that a licensee may charge a driver;
provide a process for resolving disputes between fleets and drivers;
permit the holder of a fleet Passenger Vehicle License to grant a sublicense to
another person on certain conditions;
amend certain requirements for age, color, and markings of vehicles used as
taxicabs;
.
allow software-based meters to be used in taxicabs;
amend certain requirements for temporary identification cards for taxicab drivers;
delete certain reporting and customer service plan requirements; and
generally amend the laws governing the licensing and regulation of taxicabs.
By amending
Montgomery County Code
Chapter 53, Taxicabs
Sections 53-10 1, 53-103, 53-106, 53-110, 53-201, 53-203, 53-204, 53-212, 53-213, 53­
214,53-219,53-220,53-222,53-227,53-228,53-229,53-231,53-232,53-233,53-235,
53-306,53-307,53-308,53-309,53-314,53-315, 53-503, 53-506, and 53-604
By adding
Chapter 53, Taxicabs
Sections 53-103A, 53-111 and 53-204A
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
By
renumbering
Chapter 53, Taxicabs
Sections 53-215, 53-216,53-217,53-218,53-223,53-224,53-225, 53-226,53-310,53­
311,53-312,53-313,53-314,53-316,53-317,53-318, 53-319,53-320,53-321,53-322,
53-323,53-324, and 53-325
Boldface
Underlining
[Single boldface brackets]
Double underlining
[[Double boldface brackets]]
* * *
Heading or defined term.
Added to existing law
by
original
bill.
Deletedfrom existing law by original bill.
Added
by
amendment.
Deletedfrom existing law or the bill by amendment.
Existing law unaffected by bill.
The County Council for Montgomery County, Maryland approves the following Act:
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx"14
1
2
Sec. 1. Sections 53-101, 53-103, 53-106, 53-110,53-201,53-203,53-204,
53-212,53-213,53-214,53-219,53-220,53-222, 53-227, 53-228, 53-229, 53-231,
53-232,53-233,53-235,53-306,53-307,53-308, 53-309, 53-314, 53-315,53-503,
53-506, and 53-604 are amended, and Sections 53-103A, 53-Ill and 53-204A
are added, as follows:
53-101. Definitions.
In this Chapter, unless the context indicates otherwise:
3
4
5
6
7
8
9
*
[Committee]
*
*
the
Taxicab
Services
[Advisory
Commission
means
10
11
Committee] Commission.
*
*
*
12
Dispatch
means the traditional methods of pre-arranging vehicle-for-hire
13
14
service, including through telephone or radio.
*
*
*
15
16
17
18
[Special license
means a license to provide taxicab service to a population,
based on geographic location or special need, that the Director finds would
be underserved by existing taxicab service.]
*
(a)
*
*
19
20
53-103. Taxicab Services [Advisory Committee] Commission.
The County Executive must appoint, subject to confirmation by the
County
Council,
a
Taxicab
Services
[Advisory
Committee]
21
22
23
24
25
Commission.
(b)
The [Committee] Commission must:
(1)
advise the Director in carrying out duties and functions under
this Chapter; [and]
-3­
F:\LAW\BILLS\1454 Taxicabs - Transportation Network Service\SUBSTITUTE BILL4.Doc
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
26
(2)
meet quarterly or more frequently if requested by the County
Executive or County Council
ill:
if the Chair or Commission
finds it necessary;
27
28
29
30
31
32
33
34
ill
evaluate the performance of the taxicab industry in servmg
members of the population with special transportation needs,
such as senior citizens and people with disabilities[.J.;. and
ill
(c)
conduct the biennial reView of the taxicab industry under
Section 53-104
The [Committee] Commission consists of [5] four public members
and [4] seven taxicab industry members.
[should] must appoint members so that:
(1 )
35
36
The County Executive
37
38
one public member represents senior citizens, and another
public member represents people with disabilities;
39
40
41
42
43
44
(2)
[two] three of the [4] seven taxicab industry representatives
represent management and [2] four are taxicab drivers; and
(3)
[one] two of the [2] four drivers [is an owner-driver] are owner­
drivers and [one is a] two are non-owner [driver] drivers.
(d)
The Director or the Director's representative [must service as an ex­
officio non-voting member. The Director of the Office of Consumer
Protection, or the Director's representative,] and the Chair of the
Council Transportation, Infrastructure, Energy and Environment
Committee or the Chair's representative must [also] serve as [an] ex­
officio non-voting [member] members.
45
46
47
48
49
(e)
A [Committee] Commission member serves for a term of [3] three
years, or until a successor is confirmed, whichever is later. A member
must not serve more than [2] two consecutive full terms. A person
50
51
-4­
F:\LAW\BILLS\1454 Taxicabs - Transportation Network Service\SUBSTITUTE BlLL4.Doc
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
52
53
54
55
56
appointed to fill a vacancy serves for the remainder of the
predecessor's term.
(t)
The [Committee] Commission must annually select one public
member as chair.
53-103A. Biennial Review
of the
Taxicab Industry.
57
58
59
60
ill
Between September
1
and November
1i
of each even-numbered year,
the Taxicab Services Commission must conduct
County taxicab industry including:
~
review of the
61
62
ill
ill
ill
at least one public hearing;
solicitation of comments from stakeholders;
an evaluation of:
63
CA)
ill)
(Q)
the economic condition of the taxicab industry; and
the adequacy of service rendered
Qy
the industry.
~
64
65
66
The Commission must submit
report to the Executive and County
Council not later than December
1
of the year the review is
67
conducted, describing the status of the industry and identifying any
changes to the regulation of the industry that the Commission finds
necessary or desirable, including:
68
69
70
71
72
73
ill
ill
ill
ill
changes to the number of licenses in circulation;
changes in taxicab rates set under Section 53-106;
changes in fees set under Section 53-107;
changes in insurance requirements under Section 53-225 or
applicable regulation;
74
75
76
77
ill
(§)
changes to the accessibility requirements under Article
.2..;,
changes to the affiliation and dispatch requirements under this
Chapter; and
- 5­
F:\LAW\BILLS\1454 Taxicabs ­ Transportation Network Service\SUBSTITUTE BILL4.00c
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
78
79
80
81
82
83
84
85
ill
(£)
any other changes that the Commission determines would
improve the delivery of taxicab services.
The review of economic condition of the industry must include
consideration of taxicab rates, lease and affiliation rates, and industry
fees charged to and
:by
licensees and drivers.
In
reviewing the rates
and fees, the Commission must consider:
ill
ill
driver income compared to the County minimum wage; and
the cost of industry-related regulatory and enforcement
expenditures.
86
87
88
89
*
53-106. Rates.
(a)
*
*
The County Executive must set taxicab rates by regulation to promote
the public interest after holding a public hearing and considering the
recommendations of the [Committee] Commission.
90
91
92
*
(a)
*
*
93
94
53-110. [Customer service requirements.
A regulation issued by the Executive must establish:
(1)
specific
customer
servIce
requirements
and
mInImUm
95
96
97
98
99
100
performance criteria applicable to each licensee. but which may
vary by type of licensee:
(2)
the required submission dates for any customer service plan and
other data that licensees must regularly submit;
(3)
the dates certain minimum levels of service and other
performance requirements must be met; and
(4)
the consequences of failure to meet any requirements.
101
102
-6­
F:\LAw\BILLS\1454 Taxicabs - Transportation Network Service\SUBSTlTUTE BlLU.Doc
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
103
104
105
106
107
108
109
110
The service requirements and performance criteria must focus on recurring
problems with customer service that the Department has identified through
customer complaints or otherwise.
(b)
These regulations must also include:
(1)
performance-based
qualifications
and
requirements
for
receiving additional licenses under Section 53-205;
(2)
the standards and procedure by which the Director may deny or
revoke a license if a licensee does not meet any mandatory
customer service requirement;
(3)
defined geographic areas of service, subject to modification as
provided in Section 53-222(b)(10), and minimum acceptable
service parameters for each geographic area;
(4)
information required for a review or audit of performance
criteria and data submission;
(5)
guidelines for a complaint resolution process for customer
complaints that employs, to the extent feasible, an independent
mediation or dispute resolution mechanism;
(6)
guidelines for procedures each fleet or association must employ
to keep each person who calls for service informed of the status
of that person's request;
(7)
any special procedures that the Executive concludes are
necessary to assign appropriate priority to service requests from
persons with special medical needs or non-emergency travel to
or from medical facilities; and
(8)
the percentage of calls for prearranged service that should be
picked up within 10 minutes, and the percentage of calls for
immediate service that should be picked up within 20 minutes.
-7­
F:\LAW\BILLS\1454 Taxicabs· Transportation Network Service\SUBSTITUTE BILL4.Doc
111
112
113
114
115
116
117
118
119
120
121
122
123
124
125
126
127
128
129
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
130
131
132
133
134
135
136
137
138
139
140
141
142
143
144
145
146
147
148
149
The Executive by regulation may set a different response
standard for each type of service.
"Prearranged service" is
service requested, by telephone or electronically, at least 2
hours before the passenger is scheduled to be picked up.
(c)
As a condition of receiving a license under this Chapter, each licensee
must agree that all data submitted under this Section is public
information.
The Director must regularly make that information
available to the public in an annual report on taxicab service in a
format set by regulation, and in any other fashion that the Director
finds will inform the public.
(d)
The Director, after consulting the Taxicab Services Advisory
Committee, may use any reasonable mechanism to collect more data
that may be used to measure and evaluate customer service
performance, including complaint data, customer surveys, and service
sampling techniques.]
Centralized electronic dispatch
system.
Uti
The Director must establish
£!
centralized electronic dispatch system to
dispatch taxicabs for trips that begin or end in the County through an
Internet-enabled application, digital platform, or telephone dispatch
system.
150
151
152
153
154
155
156
(hl
The Director may enter into
£!
contract with
~
licensee or other private
~
through the County procurement process to manage and operate
In selecting
£!
contractor, the Director must give
the system.
preferences to vendors who:
ill
ill
use or creates an open standard in developing the system; and
include the greatest number of jurisdictions in the Washington,
D.C. region in the system.
-8­
F:\LAW\BILLS\1454 Taxicabs - Transportation Network Service\SUBSTITUTE BILU.Doc
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
157
158
159
160
161
162
163
164
165
166
167
168
169
170
171
172
173
174
175
176
177
178
179
180
181
182
183
(£}
The Director may require every taxicab licensed under this Chapter to
participate in the system.
@
The Director may require dispatch fees, approved under Section 53­
107, to be assessed to cover the costs of operating the system.
!§)
The system must maintain verifiable records, in
~
form prescribed
Qy
the Director, summarizing responses to requests for service made
under the system. The system must provide all required records to the
Director upon request.
ill
Nothing in this Section prohibits
~
licensee from being affiliated with
or dispatched
Qy
any other two-way dispatch system.
53-111. Uniform a2reements; maximum lease and affiliation rates and other
charges.
W
The Executive must establish,
Qy
method
ill
regulation:
ill
ill
ill
(Q)
uniform lease and affiliation agreements which must conform
to the minimum requirements of Section 53-219;
maximum lease and affiliation rates that
~
licensee may charge
~
driver; and
list
of~
~
and amounts of other charges that
~
licensee may
charge
~
driver.
Maximum lease and affiliation rates, and other charges that
~
licensee
may charge
Executive to:
~
driver, must be set at amounts determined
Qy
the
ill
enable the licensee to receIve adequate revenues to
~
the
licensee's reasonable expenses and receive
~
fair and reasonable
rate of return on the licensee's investment; and
ill
provide drivers with an opportunity to earn a fair and
reasonable income.
-9­
F:\LAW\BILLS\1454 Taxicabs - Transportation Network Service\sUBSTlTUTE BILL4.Doc
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
184
185
186
187
188
189
190
191
192
193
194
195
196
197
198
199
200
201
202
203
204
205
206
207
208
209
210
(£)
In determining the maximum lease rates, the Executive must consider:
ill
ill
ill
vehicle, equipment and license costs;
asset depreciation;
the costs of insurance, operation and maintenance, uninsured
repairs, wages and salaries, garage storage, taxes, fees, two-way
dispatching and administration, as well as all other periodic
expenses paid by the licensee; and
ffi
@
any other factors that the Executive considers appropriate to
further the purposes ofthis Chapter.
The Executive must periodically review the maximum lease and
affiliation rates, and other charges that
~
licensee may charge
£!
driver,
to ensure that the rates and charges are consistent with the objectives
expressed in this section.
W
The Executive may require all licensees to provide such financial
information as may be reasonably necessary to establish maximum
rates and charges allowed under this Section. Information submitted
under this subsection is confidential and must not be disclosed to the
public.
ARTICLE 2. TAXICAB LICENSES.
Division 1. General License Provisions.
53-201. Required.
(
a)
A person must not provide taxicab servICe without possessmg a
license as required under this Chapter.
(b)
[A] Except as provided in subsection (c)(3),
only to the owner of each taxicab.
~
license must be issued
(c)
A [licensee] person must not operate a taxicab or provide taxicab
service unless the [licensee] person either:
- 10­
F:\LAW\BILLS\l454 Taxicabs - Transportation Network Service\SUBSTITUTE BILU.Doc
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
211
212
213
(1)
(2)
holds a fleet license;
[or]
holds one or more individual licenses and is affiliated with an
association or a
fleet[.]~
or
214
215
216
217
218
219
220
221
222
223
224
225
226
227
228
229
230
231
232
233
234
235
236
~
ill
(d)
holds
~
sublicense granted
121
~
holder of
~
fleet license under
Section 53-204A
- -
affiliated
- - - -
fleet.
and is
with that
- -
A licensee must hold a license for each taxicab.
A licensee must own
~
W
taxicab associated with each license unless
~
sublicense has been granted under Section 53-204A.
*
*
*
*
~
*
*
fleet or association from providing
53-203. Types of licenses; cross-ownership.
Nothing is this Section prohibits
non-taxicab for-hire driving services as defmed under State law and
not regulated
by
the County.
53-204. Transferability; security interest.
(a)
Any license must not be transferred except as provided m this
Chapter.
(b)
A license may be transferred only if:
(1)
the licensee notifies the Department in writing of the proposed
transfer not less than 30 days before the date of the proposed
transfer, specifying all terms and conditions of the proposed
transfer and the identity of the proposed transferee;
(2)
the Director finds that the proposed transferee meets all
requirements of this Chapter and applicable regulations; and
(3)
the licensee surrenders the license when the Director approves
the transfer.
- 11 ­
F:\LAW\BILLS\1454 Taxicabs - Transportation Network Service\sUBSTITUTE BILL4.Doc
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
237
238
239
240
241
242
(c)
[Except in the case of a transfer under subsection (f), a license issued
to any licensee may be transferred only if the license was not issued or
transferred within the previous three years.
(d)]
The Director must not approve the transfer to an individual of a
license issued to a fleet if1:
(1)]
the same fleet has already transferred more than two licenses to
individuals during that calendar year[; or
(2)
the transfer would result in individuals holding more than 30%
of the total number of licenses then in effect].
[Until December 31, 2009, the Director, after receiving a written
243
244
245
246
247
request from a licensee, may waive either limit in this subsection on transferring a
license issued to a fleet when the Director concludes that a waiver is necessary to
avert a potential significant loss of service or to preserve or promote adequate
taxicab service in all areas of the County, and the waiver will not reduce or impair
competition, public welfare, and public safety. If the Director waives either limit
for a fleet, the Director must at the same time waive the same limit for each other
.
fleet so that each fleet's share of the waivers approved for all fleets is at least the
248
249
250
251
252
253
254
same as that fleet's share of all fleet licenses when the application for a waiver was
filed.
The Director may attach reasonable conditions to any waiver, including
255
256
requirements for purchase of commercial liability insurance and maintenance of
minimum numbers of accessible vehicles and limits on the number of new licenses
a company can apply for or receive in a 2-year period after
it
transfers existing
licenses.
(e)]@The Director must not approve a transfer of any license if the
transferee already holds, or would then hold, more than
400/0
of the
total number of licenses then in effect.
prohibit the sale or transfer of a license to
- 12 ­
F:\LAW\BILLS\1454 Taxicabs· Transportation Network Service\SUBSTITUTE BILL4.Doc
257
258
259
260
261
262
This subsection does not
~
263
licensee that held more
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
264
265
266
267
268
269
270
271
272
273
274
275
276
277
278
279
280
281
282
283
284
285
286
287
288
289
290
(hl
than 40% of the licenses in effect on October 1, 2004, or the sale or
transfer of all or a majority of the licenses held by that licensee.
[(f)]WA security interest may be created in a passenger vehicle license in
accordance with the Maryland Uniform Commercial Code, subject to
the Director's approval.
The Executive may by regulation attach
further conditions to the creation of a security interest, consistent with
this subsection, as necessary to avoid significant disruptions in taxi
service. The Director may approve the creation of a security interest
only if:
*
*
*
[(g)]illA transferred license is valid for the remainder of the term of the
original license.
53-204A. Sublicenses.
ill
The holder of
~
fleet license may grant
~
sublicense to another person
under this Section.
A sublicense may be granted only if:
ill
the holder of
~
fleet license notifies the Department in writing
of the proposed grant not less than 30 days before the date of
the proposed grant, specifying all terms and conditions of the
proposed grant and the identity of the proposed grantee;
ill
the Director finds that the proposed grantee meets all
requirements for
regUlations; and
~
licensee under this Chapter and applicable
ill
{8
the Director approves the
gmn!
of the sublicense.
~
The Director must not approve
grant of
~
sublicense if the grantee
already holds, or would then hold, more than 40% of the total number
of licenses then in effect.
- 13­
F:\LAW\BILLS\l454 Taxicabs· Transportation Network Service\SUBSTITUTE BILU.Ooc
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
291
292
293
294
295
296
297
298
299
@
The holder of
~
sublicense is subject to all of the requirements of this
Chapter that apply to
~
licensee.
*
Sec. 53-212. [Special licenses.
(a)
*
*
In
addition to the licenses regularly available for issuance, the
Director may issue special licenses to qualified applicants to provide
innovative taxicab service, on an experimental or permanent basis,
such as:
(1)
transportation for persons with special transportation needs,
including:
(A)
(B)
(C)
(D)
300
301
senior citizens;
people with disabilities;
citizens in up-county and rural areas; or
citizens using hospital, senior centers, and other
underserved locations or areas;
302
303
304
305
306
(2)
jitney service, which is service over a regular route on a flexible
schedule; or
307
308
(3)
(b)
similar transportation services.
309
310
311
The availability of licenses under this Section must be advertised in at
least one newspaper of general circulation in the County for 2
consecutive weeks. The Director should also notifY, by electronic
mail or other reasonable means, any licensee or driver who requests to
be notified of the availability of new licenses.
312
313
314
(c)
Licenses must be issued on a competitive basis using criteria set by
regulation that are intended to achieve a high level of taxicab service.
The Director may establish appropriate procedures, fees, and
conditions to issue a license under this Section.
- 14­
F:\LAW\BILLS\l454 Taxicabs - Transportation Network Service\sUBSTITUTE BILL4.Doc
315
316
317
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
318
319
320
321
322
323
324
325
326
327
328
329
330
331
332
. 333
334
335
336
337
338
339
340
341
342
343
344
(d)
The Director may revoke a license issued under this Section at any
time for noncompliance with this Chapter or failure to provide the
service for which the license was issued.
(e)
The licensee must return any license issued under this Section to the
Department:
(1)
when the vehicle is no longer eligible to provide the required
servIce; or
(2)
if the Director revokes the license because the service is no longer needed or
was underused during a reasonable time after the license was issued.
53-213.] Criteria to deny a license.
The Director must not issue or renew a license to any person, licensee, or
applicant:.
(a)
who, within 5 years before the application is submitted, was convicted
of, pled guilty or no contest to, or was placed on probation without a
finding of guilt for, or who when the application is submitted, has a
charge pending for, or who has, within 3 years before the application
was submitted, completed a sentence or period of probation based on
a charge for:
*
(5)
*
*
[violation of] any felony [law governing] involving controlled
dangerous substances;
(6)
(7)]
[violation of any gaming law;
any offense involving driving under the influence of alcohol; or
any act of moral turpitude;
[(8)]m
*
*
*
- 15 ­
*
[53-214] 53-213. Additional criteria to deny a license.
*
*
F:\LAW\BILLS\l454 Taxicabs - Transportation Network Service\sUBSTITUTE BILL4.Doc
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
345
346
347
348
349
350
351
352
353
354
355
356
357
358
359
360
361
362
363
(b)
The Director may decline to issue or renew a license to any licensee
or applicant:
*
(4)
*
*
who has not [operated at the customer service levels required by
applicable regulations, or has not] complied after reasonable
notice with any required safety, operational, or inspection
requirement of this Chapter.
*
*
*
*
[53-219] 53-218. Responsibility of licensees, affiliates, and drivers.
*
(b)
*
Each licensee must promptly take appropriate action when the
licensee becomes aware from any source that a driver of a taxicab for
which the licensee holds the license or regarding which the licensee is
a party to an affiliation agreement has not complied with all
requirements of this Chapter [and the customer service standards
adopted under this Chapter].
(c)
Each licensee must exercise due diligence to monitor the activities of
each driver of a taxicab for which the licensee holds the license or
regarding which the licensee is a party to an affiliation agreement to
assure that the driver complies with all requirements of this Chapter
[and the customer service standards adopted under this Chapter].
364
365
366
367
368
369
370
371
(d)
Notwithstanding the legal status of any driver as an independent
contractor rather than an employee of the licensee, for the purposes of
this Chapter.,. [(and particularly the customer service standards adopted
under this Chapter)] the responsibility of each licensee for the conduct
and performance of drivers under this Chapter:
(1)
applies to each driver, including affiliates of the licensee; and
- 16­
F:\LAW\BILLS\1454 Taxicabs - Transportation Network Service\sUBSTlTUTE BILL4.Doc
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
372
373
374
375
376
377
378
379
380
381
382
383
384
385
386
387
388
389
390
391
392
393
394
395
396
397
(2)
(e)
prevails over any inconsistent contract or other agreement
between a licensee and an affiliate or a driver.
Any contract or other operating agreement between a licensee and any
affiliate or driver must use the applicable uniform agreement adopted
Qy
regulation under Section 53-111 and must:
(1)
inform the driver of:
(A)
the driver's obligation to comply with all requirements of
this Chapter [and the customer service standards adopted
under this Chapter]; and
(B)
the licensee's obligation to take appropriate action when
the licensee becomes aware that a driver has not
complied with any requirement of this Chapter [or
customer service standard];
(2)
empower the licensee to take appropriate action, as required in
subsection (b); [and]
(3)
not restrict a driver, affiliate, or taxicab owner from providing
taxicab service in the County after the contract or agreement
expires or is terminated[.];
ill
not exceed
~
term of one year;
not require
f!
driver or affiliate to use the fleet or association
system for processing credit card transactions; and
ill
®
(f)
[(1)
not be subject to automatic renewal.
Any contract or other operating agreement between a licensee
and any affiliate or driver must require both parties, at either
party's request, to participate in good faith in an independent,
third-party mediation or alternative dispute resolution process,
- 17 ­
F:\LAW\BILLS\1454 Taxicabs - Transportation Network Service\SUBSTITUTE BILL4.Doc
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
398
399
which may be administered by the Department or the
Department's designee.
(2)
A dispute is subject to the process required by this subsection if
the dispute is connected with the operation of the contract or
agreement or involves the affiliate's or driver's compliance
with any requirement of this Chapter or a customer service
standard adopted under this Chapter.
The implementing
400
401
402
403
404
405
406
407
408
409
410
411
regulations may specify that certain classes of disputes are not
subject to this process.
(3)
The dispute resolution administrator may stay the operation of
any action taken by a party when a stay is necessary to preserve
the rights of any party.
(4)
This subsection does not preclude either party from taking any
other lawful action to enforce any contract or agreement.]
A licensee must not impose on !! driver or affiliate:
412
413
ill
ill
!! charge of more than 5% of the transaction for processing
!!
credit card payment; or
any other charge of!!
~
or amount other than those on the list
adopted
.by
regulation under Section 53-111.
414
415
416
417
418
419
420
421
422
423
424
53-219. Dispute Resolution.
ill
Definitions.
In this Section:
ill
Dispute
means !! disagreement between !! person who holds !!
taxicab driver identification card issued under this Chapter and
the fleet or association under whose colors the person drives
over whether an action taken
.Qy
the fleet or association to
terminate, suspend or impair the person's ability to drive under
the fleet or association's colors, or to terminate, suspend or
F:\LAW\BILLS\l454 Taxicabs· Transportation Network Service\sUBSTITUTE BILL4.Doc
~
-18-
~J'l
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
425
426
427
428
429
430
431
432
433
434
435
436
437
438
439
440
441
442
443
444
impair the person's right to enjoy the resources and benefits
provided
Qy
the fleet or association,
and based
Y.QQ!l
good cause.
~n
the same basis as other
similarly situated fleet or association drivers, was reasonable
ill
Good cause
means one or more of the causes for revocation of
an identification card under Section 53-604, or !! material
failure of !! driver to comply with established, written rules or
practices of the company or to perform in accordance with his
or her written contract with the company, after reasonable
notice and an opportunity to comply or perform.
(hl
Each fleet or association may have !! written dispute resolution
procedure as part of its agreements with its affiliates or drivers, so
long as such dispute resolution procedure incorporates, at!! minimum,
binding arbitration pursuant to the American Arbitration Association
Commercial Arbitration Rules, R-l through R-58.
ill
If !! fleet or association has an agreement with an affiliate or driver
that does not include !! dispute resolution procedure meeting the
requirements of subsection
ili1.
then disputes will be subject to
resolution under this subsection.
ill
disputes must first be the subject of an internal gnevance
procedure conducted as follows:
445
446
447
448
449
450
451
®
the aggrieved
Pm!Y
must submit !! complaint
in
writing to
the fleet or association within 30 days from the date of
the fleet or association's action, containing !! written
statement of the matter in dispute and the names,
addresses and telephone numbers of each
Pill!Y
to the
dispute.
- 19­
F:\LAW\BILLS\14S4 Taxicabs· Transportation Network Service\SUBSTITUTE BILL4.Doc
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
452
453
454
455
456
457
458
459
460
461
462
463
464
465
466
467
468
469
470
471
472
473
474
475
476
477
478
(ill
within two weeks after the submission of the written
complaint, the fleet or association must appoint
~
representative from within the fleet or association to hear
the dispute. The representative must have had no direct
or indirect involvement in the dispute.
(£)
within two weeks after appointment, the representative
must conduct an informal hearing concerning the dispute.
ill.)
both parties must use best efforts to resolve the dispute.
within two weeks after the hearing has been concluded,
the fleet or association representative must provide
written decision.
~
.em
ill
If the dispute is not resolved through the internal grievance
procedure, both parties may agree to informal or formal
mediation of the dispute, pursuant to paragraph
Q1
If the
parties fail to agree to mediation, either
~
may elect to
proceed to arbitration, pursuant to paragraph
(11
ill
Informal or formal mediation.
(A)
within two weeks after the internal grievance procedure
has been concluded, any
~
requesting mediation must
submit
parties.
(ill
~
written notice requesting mediation to all
within two weeks after such notice has been submitted,
the parties may agree to an impartial person to mediate
the dispute in an informal process. If the parties do not
agree to informal mediation, the
mediation must submit
~
~
requesting
written Request for Mediation
to the American Arbitration Association (AAA). If the
- 20­
F:\LAW\BILLS\I454 Taxicabs· Transportation Network Service\SUBSTITUTE BILU.Doc
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
479
480
481
482
483
484
485
486
487
488
489
490
491
492
493
494
495
496
497
parties are unable to agree to mediation, either
pru1y
may
elect to proceed to arbitration, pursuant to paragraph
G1
©
~
request for mediation must contain
~
brief statement of
the dispute, and the names and addresses and telephone
numbers of each
pru1y
to the dispute.
CD}
the mediator must notify all parties of the time, date and
place of the mediation.
lID
(E}
the costs of the mediation must be borne equally
Qy
the
parties unless they agree otherwise in writing.
the mediation conducted
Qy
AAA must be in substantial
accord with the American Arbitration Association
Commercial Mediation Rules, M-l throughM-17.
CG}
the mediator may end the mediation
.it:
in the sole
discretion of the mediator, the continuation of the
mediation would
- ­
useful.
not be
CH}
the parties in mediation must use their best efforts to
resolve the issues in controversy and the mediator may
execute
~
written settlement agreement if agreed on
Qy
~
the parties but may not impose
parties.
settlement on the
498
499
500
501
502
503
504
ill
Where neither the internal grievance procedure nor mediation,
if attempted, has resolved the dispute, either
pru1y
may submit
the matter to arbitration, which is binding upon the parties.
Such arbitration must be conducted as follows:
CA}
within two weeks after the mediation process or the
internal grievance procedure has been concluded, the
- 21 ­
F:\LAW\BILLS\l4S4 Taxicabs - Transportation Network Service\SUBSTITUTE BILL4.Doc
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
505
506
507
508
509
510
511
l2ill1Y
requesting arbitration must submit
!!
written notice
of intent to arbitrate to all parties.
au
within two weeks after such notice has been submitted,
an impartial person to arbitrate the dispute must be
agreed upon
Qy
the parties,
~
if the parties do not agree,
the
l2ill1Y
requesting arbitration must submit
!!
written
request for arbitration to the (AAA) and simultaneously
mail
!!
f.QPY
of the request for arbitration to every party to
the dispute.
512
513
514
515
516
517
518
519
520
521
522
523
©
!!
request for arbitration must contain
!!
brief statement of
the dispute, and the names and addresses and telephone
numbers of each
l2ill1Y
to the dispute.
(ill
the arbitrator must notify all parties
and
their
representatives, if any, of the time, date and place of the
arbitration.
an
the costs of the arbitration must be borne
Qy
the
l2ID1Y
which does not prevail, unless the parties agree otherwise
in writing, or the costs are otherwise apportioned
Qy
the
arbitrator if there is no prevailing party.
524
525
526
527
528
529
530
.cD
the arbitration, whether conducted
Qy
AAA or another
arbitrator chosen
Qy
the parties, must be in substantial
accord with the American Arbitration Association
Commercial Arbitration Rules, R-l through R-56.
(G)
the arbitrator may conclude the arbitration hearing if in
the sole discretion of the arbitrator, continuation of the
hearing would not be useful.
- 22­
F:\LAW\BILLS\1454 Taxicabs - TTlII1sportation Network Service\SUBSTITUTE BILL4.Doc
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
531
532
533
534
535
536
537
538
539
540
541
542
543
544
545
546
547
548
549
.an
within two weeks after the arbitration hearing has been
concluded, the arbitrator must render an award in writing,
which must be binding
ill2Q!!
the parties and which may
be enforced
Qy
any court having jurisdiction over the
parties.
Division 4. Additional Duties of Fleets and Associations.
53-220. Essential requirements.
Each fleet and association must:
(a)
provide [its own] centralized administrative, vehicle maintenance,
customer service, complaint resolution, dispatch, management,
marketing, operational, and driver training services located in the
County, or at one or more [other] locations approved by the Director[,
that are physically separate from any other association or fleet]. A
fleet or association may obtain these services, with the approval of the
Director:
(1)
from another person or entity who does not hold, or have an
interest in, a license issued under this Chapter; or
(2)
from another fleet or association if the Director finds that joint
operations of this type:
(A)
would promote competition and Improve customer
service; and
(B)
would not impair the independence of any fleet or
association;
550
551
552
553
554
555
556
*
(c)
Director;
*
*
operate under [unifonn] colors and markings approved by the
- 23 ­
F:\LAw\BILLS\1454 Taxicabs - Transportation Network Service\sUBSTITUTE BILL4.Doc
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
557
558
559
560
561
562
563
564
565
566
567
568
569
570
571
(d)
[submit a customer service plan as required by applicable regulations
that specifies how the fleet or association will achieve the plan's goals
for safe, reliable customer service and on-time performance;
(e)]
submit accurate, verifiable operating and statistical data reports as
required under this Chapter;
[(f)]fruprovide an adequate number of taxicabs to meet service demand 24
hours a day, 7 days a week, as defined by applicable regulations; and
[(g)]illcomply with all requirements of this Chapter regarding the provision
of accessible taxicabs.
*
[53-222. Customer Service Plan.
*
*
(a)
Each fleet and association is responsible for providing timely, safe,
reliable quality taxicab service.
To that end, each fleet and
association must submit to the Director a customer service plan as
required by Section 53-110 and applicable regulations.
(b)
At a minimum, each fleet and association's initial customer service
plan must:
(1)
572
573
574
575
specify the fleet or association's anticipated percentage of trips
that
will
achieve the applicable response time standards set
under Section 53-IIO(b)(8) for prearranged service requests and
calls for immediate service, or submit proposed response times
for immediate and prearranged service that are different in any
service area specified by the fleet or association.
When
576
577
578
579
580
581
582
583
different response times are proposed, the plan must describe
why the differences are proposed, considering growth in a
service area or the fleet or association's willingness to serve
areas that need additional service;
- 24­
F:\LAW\BILLS\1454 Taxicabs· Transportation Network Service\SUBSTlTUTE BILL4.Doc
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
584
585
586
587
588
589
590
591
592
593
594
595
596
597
598
599
600
601
602
(2)
include time lines to achieve the proposed standards if they will
not be met in the next year;
(3)
describe any operational changes the fleet or association intends
to implement that would result in improved service;
(4)
describe what procedures the fleet or association will employ to
keep each person who calls for service informed of the status of
that person's request;
(5)
describe any special procedures the fleet or association will use
to assign appropriate priority to service requests that involve
persons with special medical needs or non-emergency trips to
or from medical facilities;
(6)
specify the number of taxicabs needed to achieve response
times, and justify an increase in taxicab licenses, if requested,
based on public convenience and necessity;
(7)
include a phased-in plan for service improvements, particularly
noting any improvements intended to achieve better service to
senior citizens, people with disabilities, or other underserved
popUlations identified by the Directors;
(8)
describe the fleet or association's participation. and goals for
participation, in user-side subsidy programs;
603
604
605
606
607
608
609
610
(9)
calculate the fleet's or association's user-side subsidy program
participation data for the previous 12 months;
(10) describe the fleet or association's geographic areas of service,
including any planned expansion
III
a service area or a
willingness to serve areas that need additional service;
(11) calculate prior taxicab productivity, measured by the number of
daily trips per cab or an equivalent measurement;
- 25­
F:\LAw\BILLS\14S4 Taxicabs - Transportation Network Service\SUBSTITUTE BILL4.Doc
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
611
612
613
614
(12) describe the fleet or association's development of and
participation in innovative taxicab services;
(13) list the number of consumer complaints involving the fleet or
association, by type, filed with the County or another
government agency in the past 24 months; and
(14) list the number of enforcement actions against the fleet or
association or its drivers of which the fleet or association is
aware, started and completed during the past 24 months.
(c)
Any customer service plan filed after the initial plan must show any
changes in the data included in the initial plan, and any new data
required by applicable regulations.]
615
616
617
618
619
620
621
622
623
624
*
53-227.. Continuous operation.
*
*
(a)
Each licensee must keep each licensed taxicab in continuous operation
as defined
Qy
applicable regulation.
625
626
627
628
ill
The Executive must
Qy
method
operation using
!!
formula that:
ill
regulation define continuous
ill
uses calendar-quarterly reports submitted
Qy
each fleet and
association showing mileage driven
Qy
each vehicle associated
with
!!
license held
association;
~
629
630
631
or affiliated with, each fleet and
632
633
634
ill
requires average per-vehicle mileage to be at least 85% of the
County-wide average for each quarter, unless the Director,
Qy
written request, waives the requirement.
635
636
ill
Each licensee must notify the Department in writing at any time that:
(l)
a taxicab will be or has been out of service for more than 30
days, or
- 26­
F:\LAW\BILLS\1454 Taxicabs - Transportation Network Service\SUBSTITUTE BILU.Doc
637
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
638
639
640
641
642
643
644
645
646
647
648
649
650
651
652
653
654
655
656
657
658
659
660
661
662
663
664
(2)
an average of more than 15% of the taxicab whose licenses are
held by that licensee have been inactive during the previous
calendar month.
[(b)]@
(1)
Each notice must:
explain the reasons for each period of inactivity; and
show why the Director should not revoke the license of each
inactive taxicab for lack of use.
(2)
53-228. Procedure when vehicle placed in or removed from service.
*
(f)
*
*
Each licensee must receive the Department's approval before taking a
taxicab out of service for a period longer than 30 days. The licensee
must explain why the taxicab is out of service and list its license
number, assigned vehicle number, and registration numbers. If the
Department finds that the licensee has good cause, as defined by
applicable regulations, to take the taxicab out of service, the
Department may approve that action. If the Department rejects the
application, the licensee must promptly reinstate the taxicab in service
or
-
return
--=.==-=­
the license.
(g)
Any vehicle placed in service as a taxicab must not be more than [4]
five model years old.
53-229. Age of vehicles.
(a)
A licensee must not use any vehicle that is more than [7] eight model
years old to provide taxicab service in the County. As used in this
Chapter, the "model year" of a vehicle is the year designated by the
vehicle manufacturer, as indicated on the vehicle or in the
manufacturer's records. A licensee may maintain a vehicle in service
until the next December 31 after its [seventh] eighth model year ends
- 27­
F:\LAW\BILLS\1454 Taxicabs - Transportation Network Service\SUBSTITUTE BILL4.Doc
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
665
666
667
668
669
670
671
672
673
674
675
676
677
678
679
680
681
682
683
if the vehicle passes a comprehensive safety inspection performed
during the preceding August by a state-certified inspector in good
standing.
*
(a)
*
*
53-231. Vehicle numbering, lettering, and markings; rate chart.
When a license for a taxicab is issued under this Chapter, the
Department must assign a license number to the taxicab. The licensee
(or the fleet, if the vehicle is affiliated with a fleet) must assign a
vehicle number to each taxicab.
The vehicle number must be
permanently applied[,] and plainly visible[, and not less than 3 inches
high, on each of the 2 sides, on each of the 2 rear door roof columns,
and on the rear of each taxicab].
*
(a)
*
*
53-232. Doors; lettering; color; special equipment.
Each taxicab operated in the County must have at least 3 doors. All
doors must operate safely.
(b)
A licensee or driver must not operate a taxicab unless the taxicab
bears markings in letters plainly distinguishable [and not less than 3
inches high,] on each of the 2 sides of the taxicab, showing the
approved name [and telephone number] of the fleet or association by
whom the taxicab is owned or operated[, and the word "taxicab,"
"taxi" or "cab."]:.
(c)
[All taxicabs
in
a fleet or association] Each fleet or association must
[be uniform in color] register its colors with the Department. A fleet
or association may register one or more color combinations, and any
fleet or association may register black as one of its colors. A fleet or
association must not use colors that are similar to those of another
- 28­
F:\LAW\BILLS\l454 Taxicabs - Transportation Network Service\SUBSTITUTE BILL4.Doc
684
685
686
687
688
689
690
691
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
692
693
694
695
696
697
698
699
700
701
702
703
704
705
706
707
708
709
710
711
fleet or association so that the public can readily identify taxicabs
operated
Qy
that fleet or association. [However, the] The Director
may approve advertising in different colors or markings as long as the
public can still readily identify taxicabs operated by that licensee, or
the use of a set of different colors and markings to identify a
specialized service provided by or geographic area served by a fleet or
association.
Any color or color combination approved by the
Department,3. other than black, must be reserved for the exclusive use
of that fleet or association when the fleet or association is operating
taxicabs in the County.
(d)
Each licensee must insure that each fleet or association uses only the
approved name of the fleet or association in advertising or listing its
service to the public.
53-233. Cruising lights.
Each taxicab must have cruising lights that operate electrically as a sign or
insignia mounted on the forward portion of the roof or on the dashboard of the
taxicab. These lights must not be used until approved by the Department. These
lights may be removable, but must be mounted when the vehicle is in use as
taxicab.
~
taxicab, and must be designed so that the vehicle can be easily identified as a
712
713
*
53-235. Taxicab meters.
*
*
714
715
716
717
718
(a)
Each taxicab must be equipped
with~
ill
an accurate, properly installed and connected taximeter which
has a security seal affixed by the Department[.]; or
ill
~
reliable, independently verifiable software-based metering
system, approved
Qy
the Department.
- 29­
F;\LAW\BILLS\I 454 Taxicabs - Transportation Network Service\SUBSTITUTE BILL4.Doc
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
719
720
721
722
723
724
725
726
727
728
729
730
731
732
733
734
735
736
737
738
739
740
741
742
743
(b)
In addition to regular inspections, the Department may conduct
periodic tests of these meters or metering systems. Upon successful
completion of the tests, [the]
security seal.,. and
in
~
~
~
taximeter must be afftxed with a
software-based metering system must be marked
manner acceptable to the Department. These tests should be
scheduled in a manner that minimizes interruption of taxicab service
to the public.
*
53-236. Inspections.
*
*
*
(
d)
*
*
Each taxicab licensed under this Chapter must undergo a complete
inspection of its mechanical condition and any special equipment used
to transport persons with disabilities every [6] 12 months at a time and
place designated by the Department.
The inspection must be
performed by a licensed state inspector at a state-certified inspection
station in good standing. The Director must immediately, without
holding a hearing, suspend the license of any taxicab in an unsafe
physical or mechanical condition. The Director must immediately
reinstate any unexpired suspended license after receiving satisfactory
proof that the violation or defect has been corrected.
*
53-306. Application; temporary card.
*
*
(a)
A person who holds a valid identiftcation card must apply [to] for a
renewal card not less than 30 days before the current card expires.
*
*
*
- 30­
F:\LAW\BILLS\I454 Taxicabs· Transportation Network Service\SUBSTlTUTE BILU.Doc
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
744
745
746
747
748
749
750
751
752
753
754
755
756
757
758
759
760
761
762
(c)
(1)
An applicant who has not held an identification card, or who
held a card that has expired, may apply for a short-term
temporary identification card under applicable regulations.
(2)
The Director must not issue a temporary identification card
unless the applicant has:
(A)
properly verified his or her identity;
a valid driver's license issued by Maryland or a bordering
state (including the District of Columbia);
(C)
submitted his or her driving records, as compiled by the
appropriate state motor vehicle agency, for the previous 3
calendar years from any jurisdiction where the applicant
held a license to drive a motor vehicle; and
(D)
undergone a criminal background check, conducted by
the appropriate state agency, showing that the applicant is
not disqualified because of a criminal conviction, receipt
of probation before judgment in lieu of a conviction, or
pending criminal charge from operating a taxicab[; and]
[(E)
(B)
passed the examination required under Section 53-308].
(3)
[After August 31, 2007, the] The Director must not issue a
temporary or annual identification card unless the applicant has
shown, through a complete criminal background check, that the
applicant is not disqualified for any reason mentioned in
Section 53-309(a).
763
764
765
766
767
768
769
770
(4)
Any temporary identification card issued under this subsection
must differ conspicuously in style and color from the annual
identification card.
(5)
A temporary identification card expires [on the earlier of:
- 31 ­
F:\LAW\BILLS\14S4 Taxicabs - Transportation Network Service\SUBSTITtITE BILL4.Doc
@
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
771
772
773
774
775
776
777
778
779
780
781
782
783
784
785
786
787
788
789
(A)
five days after the Department receives the results of the
nationwide criminal background check; or
(B)
(6)
90] 45 days after the card was issued.
The holder of a temporary identification card must return it to
the Department, without further proceedings, on the earlier of:
(A)
the day the Department issues the holder an annual
identification card under this Chapter;
(B)
(C)
the [90th] 45th day after the card was issued; or
one business day after the Department notifies the holder
that the card has expired under subsection (c)(5)[(A)].
(7)
By accepting a temporary identification card, the holder by
operation of law waives any cause of action against the County
or any officer, employee, or agency of the County for
improperly issuing a license to the holder. By employing or
leasing a taxicab to any person who holds a temporary
identification card, a taxicab licensee by operation of law
waives any cause of action against the County or any officer,
employee, or agency of the County for improperly issuing a
license to that person.
790
791
792
793
794
795
796
(d)
The Director may extend the expiration date of an identification card
[(including a temporary identification card issued under subsection
(c))]
up to
60
days if:
(1)
the applicant has submitted all required documentation; and
processing of required state or federal criminal background
checks has been delayed through no fault ofthe applicant.
(2)
53-307. Physician's certificate.
- 32­
F:\LAW\BILLS\1454 Taxicabs - Transportation Nern:ork Service\SUBSTITUTE BILlA.Doc
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
797
798
799
800
801
802
803
804
805
806
807
808
809
810
811
812
813
814
815
816
817
818
819
820
821
822
823
(a)
Before the Director issues an identification card, [including] other
than a temporary card issued under Section 53-306(c), the applicant
must furnish a physician's certificate, issued within the previous 30
days, which certifies that:
*
53-308. [Examination of applicant.
*
*
Before issuing an identification card, other than g temporary card issued
under Section 53-306(c), the Director must require the applicant to show that the
applicant is able to:
(a)
(b)
perform the duties and responsibilities of a taxicab driver; and
pass an examination on knowledge of traffic laws, duties under this
Chapter, and general qualifications to operate a taxicab in the County.
53-309.] Criteria to deny an identification card.
The Director must not issue or renew an identification card to any driver or
applicant:
(a)
who, within 5 years before the application is submitted, was convicted
of, pled guilty or no contest to, or was placed on probation without a
finding of guilt for, or who when the application is submitted, has a
charge pending for, or who has, within 3 years before the application
was submitted, completed a sentence or period of probation based on
a charge for:
*
(5)
*
*
[violation of] any felony [law governing] involving controlled
dangerous substances;
(6)
(7)]
[violation of any gaming law;
any offense involving driving under the influence of alcohol; or
any act of moral turpitude;
·33·
F:\LAW\BILLS\1454 Taxicabs - Transportation Network Service\SUBSTITUIE BILL4.Doc
[(8)](1)
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
824
825
826
827
828
829
830
831
832
833
834
835
836
837
838
839
840
841
842
843
844
845
846
847
848
849
850
*
*
*
Sec. 53-314. Passenger receiptsi credit card transactions.
ill
A driver must give each passenger a receipt showing the name of the
fleet or association, the taxicab number, the time and place of origin
and destination of each trip, and the amount of the fare, on a form
authorized by the Department, unless the passenger declines to receive
the receipt.
ill
Any system or service used to process credit card transactions must:
ill
ill
be compliant with all applicable tax laws;
accept payment through any County user-side subsidy program;
and
be approved .by the Director.
*
53-315. Trip records.
*
*
(a)
Each driver:!. or the fleet or association on behalf of an affiliated
individual licensee, must keep
[an
original written]
f!:
record, for a
period of six months, of all in- service trips
[on]
in a form approved
by the Department. Each in-service trip must be entered on the trip
record at the point of pickup.
(b)
The driver:!. or the fleet or association on behalf of an affiliated
individual licensee, must submit trip records to the Department
whenever the Director requires.
(c)
Each trip record must include the date, the driver's starting and ending
time, and the taxicab's starting and ending mileage for the driver's
work day.
(d)
Each rest break the driver takes must be entered on the trip record.
*
*
- 34­
*
F:\LAW\BILLS\1454 Taxicabs - Transportation Network Service\SUBSTITUTE BILL4.Doc
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
851
852
853
854
855
856
857
858
859
860
861
862
863
864
865
866
867
868
869
870
871
872
873
874
875
876
877
53-503. Training.
Any licensee who transports passengers who use wheelchairs or scooters
must train each driver on the special needs of persons with disabilities.
The
training program must be approved by the Department after consulting the
Commission on People with Disabilities, the Department of Health and Human
Services, and the Taxicab Services [Advisory Committee] Commission.
This
training should be made available to any driver who is issued an identification card
under this Chapter.
*
(a)
*
*
53-506. Number of accessible taxicab licenses.
The overall number of accessible taxicab licenses must not be less
than 5% ofthe total ofavailable County taxicab licenses.
(b)
The Department must set the number of new accessible taxicab
licenses by regulation, based on past and current demand and after
consulting the Taxicab Services [Advisory Committee] Commission,
the Commission on People with Disabilities, and the Department of
Health and Human Services.
(c)
After considering the recommendations of the Taxicab Services
[Advisory Committee] Commission, the Department may establish,
by regulation, a method to allow temporary replacement of accessible
vehicles with sedans.
*
(a)
*
*
53-604. Suspension or revocation of license or identification card.
The Director may revoke or suspend any license or identification card,
as appropriate, if, after notice and opportunity for a hearing, the
Director finds that:
*
*
- 35­
*
F:\LAW\BILLS\1454 Taxicabs· Transportation Network Service\SUBSTITUTE BILL4.Doc
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
878
879
880
881
882
883
884
885
886
887
888
889
890
891
892
893
894
895
896
897
898
899
900
901
902
903
904
(3)
a licensee or driver has been convicted of any crime of moral
turpitude, including a crime of violence, sex offense, or
[violation of] a felony involving
substance [or gaming law];
~
controlled dangerous
*
(5)
*
*
a licensee or driver operated a taxicab, or allowed a taxicab to
be operated,
in
a manner that endangered the public health,
safety, or welfare[, or with a record of substandard customer
service as defined by applicable regulation].
*
*
*
Sec. 2. Sections 53-215, 53-216, 53-217, 53-218, 53-223, 53-224, 53-225,
53-226, 53-310, 53-311, 53-312, 53-313, 53-314,53-316,53-317, 53-318,53-319,
53-320,53-321,53-322,53-323,53-324, and 53-325 are renumbered as follows:
[53-215] 53-214. Expiration of license.
*
[53-216] 53-215. Renewal of license.
*
*
*
*
*
*
*
*
*
*
[53-217] 53-216. Notice of change of address.
[53-218] 53-217. Quarterly accident reports.
*
*
*
*
participation.
[53-223] 53-222. User-side subsidy programs -
*
*
[53-224] 53-223. Mechanical inspection certificate.
*
[53-225] 53-224. Insurance required.
*
- 36­
*
*
F;\LAW\BILLS\1454 Taxicabs· Transportation Network Service\SUBSTITUTE BILL4.Doc
 PDF to HTML - Convert PDF files to HTML files
BILL No. xx-14
905
906
907
908
909
910
911
912
[53-226] 53-225. State registration required.
*
*
*
*
*
*
*
*
*
*
[53-310] 53-309. Expiration of identification card.
[53-311] 53-310. Taxicabs from other jurisdictions.
*
*
*
*
[53-312] 53-311. Notice of change of address.
913
914
915
916
917
918
919
920
921
922
923
924
925
926
927
928
929
930
931
[53-313] 53-312. Duty to accept and convey passengers.
*
[53-314] 53-313. Passenger receipts.
*
*
*
[53-316] 53-314. Out of service notice.
*
*
*
*
*
*
*
*
[53-317] 53-315. Parking at taxicab stands.
[53-318] 53-316. Parking to solicit business.
*
*
[53-320] 53-318. Accident reports.
[53-319] 53-317. Trips to be made by most direct route.
*
*
*
*
*
*
*
*
[53-322] 53-320. Hours of operation.
[53-321] 53-319. Use by other persons prohibited.
*
*
- 37­
*
[53-323] 53-321. Driver and passengers only permitted in vehicle; exception.
F:\LAW\BILLS\1454 Taxicabs - Transportation Network Service\SUBSTlTUTE BILL4.Doc
 PDF to HTML - Convert PDF files to HTML files
BILL
No. xx-14
932
933
934
935
936
*
*
[53-325] 53-323. Group riding.
Approved:
*
*
*
[53-324] 53-322. Maximum number of passengers.
*
937
George Leventhal, President, County Council
Date
938
Approved:
939
Isiah Leggett, County Executive
Date
940
This is a correct copy ofCouncil action.
941
Linda M. Lauer, Clerk of the Council
Date
- 38­
F:\LAW\BILLS\1454 Taxicabs - Transportation Network Service\SUBSTlTUTE BILL4.Doc
 PDF to HTML - Convert PDF files to HTML files
Remaining Amendments to Substitute Bill
Offered by
Councilmem ber Berliner
1
53-204. Transferability; security interest.
2
3
(a)
(b)
Any license must not be transferred except as provided in this Chapter.
A license may be transferred only if:
(1)
the licensee notifies the Department in writing of the proposed
transfer not less than 30 days before the date of the proposed
transfer, specifying all terms and· conditions of the proposed
transfer and the identity ofthe proposed transferee;
(2)
the Director finds that the proposed transferee meets all
requirements of this Chapter and applicable regulations; and
(3)
the licensee surrenders the license when the Director approves
the transfer.
4
5
6
7
8
9
10
11
12
13
14
15
16
17
(c)
[Except in the case of a transfer under subsection
(0,
a license issued
to any licensee may be transferred only if the license was not issued or
transferred within the previous three years.
(d)
The Director must not approve the transfer to an individual of a license
issued to a fleet if:
(1)
the same fleet has already transferred more than two licenses to
individuals during that calendar year; or
(2)
the transfer would result in individuals holding more than 30%
of the total number of licenses then in effect.
Until December 31,2009, the Director, after receiving a written request
18
19
20
21
22
23
from a licensee, may waive either limit in this subsection on transferring a license
issued to a fleet when the Director concludes that a waiver is necessary to avert a
 PDF to HTML - Convert PDF files to HTML files
24
25
26
potential significant loss of service or to preserve or promote adequate taxicab
service in all areas of the County, and the waiver will not reduce or impair
competition, public welfare, and public safety. If the Director waives either limit
for a fleet, the Director must at the same time waive the same limit for each other
fleet so that each fleet's share of the waivers approved for all fleets is at least the
same as that fleet's share of all fleet licenses when the application for a waiver was
filed.
The Director may attach reasonable conditions to any waiver, including
27
28
29
30
31
32
33
34
35
requirements for purchase of commercial liability insurance and maintenance of
minimum numbers of accessible vehicles and limits on the number of new licenses
a company can apply for or receive in a 2-year period after it transfers existing
licenses.
(e)]
The Director must not approve a transfer ofany license ifthe transferee
already holds, or would then hold, more than 40% of the total number
of licenses then in effect. This subsection does not prohibit the sale or
transfer ofa license to g licensee that held more than 40% ofthe licenses
in effect on October 1, 2004, or the sale or transfer of all or a majority
of the licenses held by that licensee.
[(f)]@A security interest may be created in a passenger vehicle license in
accordance
with
the Maryland Uniform Commercial Code, subject to
the Director's approval.
The Executive may by regulation attach
36
37
38
39
40
41
42
43
44
45
46
further conditions to the creation of a security interest, consistent with
this subsection, as necessary to avoid significant disruptions in taxi
servIce. The Director may approve the creation of a security interest
only if:
47
48
*
original license.
*
*
49
50
[(g)](clA transferred license is valid for the remainder of the term of the
2
 PDF to HTML - Convert PDF files to HTML files
51
52
*
(a)
*
*
53-205. Periodic issuance of new licenses.
Notice.
The Director may periodically issue new licenses to qualified
53
54
55
56
57
applicants [or reissue any license that has been revoked or not renewed
under this Chapter,] as provided
in
this Section. The Director must
advertise the availability of these licenses in at least one newspaper of
general circulation in the County for [2] two consecutive weeks before
accepting applications. The Director should also notify, by electronic
mail or other reasonable means, any licensee or driver who requests to
be notified of the availability of new [or reissued] licenses.
(b)
Criteria.
The Director may issue new [or reissued] licenses to qualified
58
59
60
61
62
63
64
applicants, including existing licensees and persons who do not then
hold licenses, who meet criteria defined by regulation which promote
competition and further the purposes ofthis Chapter. The criteria must:
(1)
be based on public convenience and necessity, such as the need
for more taxicab services
in
the County generally or in certain
geographic areas of the County, or for certain types of
passengers, as shown by such measurements as taxi utilization
rates and response times; and
(2)
consider the performance record of each applicant
in
providing
taxicab service
in
the County or elsewhere.
(c)
Individual allocation.
Of the new [or reissued] licenses issued in any
65
66
67
68
69
70
71
72
73
74
75
76
77
2-year period, [20%] at least 50% must
be
allocated to individuals who:
(1)
have held a Taxicab Driver Identification Card, and have
regularly driven a taxicab in the County, during the preceding
three years;
(2)
have a superior driving record, as defined by regulation; and
3
 PDF to HTML - Convert PDF files to HTML files
78
79
80
81
82
83
(3)
do not already hold a license under this Chapter.
In deciding among individuals who qualify under this subsection, the Director must
rank them by the number of years that each individual has regularly driven a taxicab
in the County. If a sufficient number of qualified individuals do not apply for a
license under this subsection, the Director may allocate the remaining licenses to
individuals who already hold a license under this Chapter.
(d)
84
85
86
87
88
89
Biennial limit.
During calendar year [2006] 2016 the Director must not
issue more than 70 new licenses. In each later even-numbered year, the
Director may issue a total number of new licenses that does not exceed
10% ofthe number of licenses then in effect.
(e)
Additional licenses
-
extraordinary authority; population limit.
The
Director may issue more licenses than are authorized under subsection
(d) if the Director fmds, after holding a public hearing, that additional
taxicabs are necessary to improve service to specified geographic areas
or types of taxicab users or generally to increase competition.
However, the total number of licenses issued must not exceed [1] one
license for each 1,000 County residents, as computed in the most recent
decennial U.S. Census or any census update published by the
appropriate federal agency.
90
91
92
93
94
95
96
97
98
99
(0
Individual limit.
Notwithstanding any other provision of this Section,
the Director must not issue [more than 10]
~
new [or reissued licenses]
license [in any 2-year period] to any licensee that holds or controls more
than 40% ofthe licenses then in effect.
53-206. Reissuance of revoked or non-renewed licenses.
100
101
102
103
.cru
The Director must reissue licenses that are revoked or not renewed as
provided in this Section.
4
 PDF to HTML - Convert PDF files to HTML files
104
(hl
Eligibility list.
The Director must compile and maintain .!! list of
105
106
107
individuals that have submitted applications and who:
ill
have held .!! Taxicab Driver Identification Card, and have
regularly driven .!! taxicab in the County, during the preceding
three years;
108
109
110
111
ill
ill
(£}
have .!! superior driving record, as defined
Qy
regulation; and
do not already hold.!! license under this Chapter.
Ranking.
The Director must
rank
individuals on the applicant list
Qy
112
113
114
115
116
117
the number of years that each individual has regularly driven .!! taxicab
in the County.
@
Reissuance.
As licenses become available for relssuance, the
Department must notify the applicant highest on the eligibility list that
.!! license is available and of the applicable acceptance procedures and
deadlines. The Department must send notice
Qy
mail to the address
listed
Qy
the applicant on the application or to any updated address
provided
Qy
the applicant in writing to the Department. Ifthe taxicab is
not placed in service within 90 days after the license is issued, the
Director must revoke the applicant's eligibility and notify the next
applicant on the eligibility list. The Director may extend the time to
place.!! taxicab in service to permit the taxicab to be retrofitted for use
as an accessible taxicab.
118
119
120
121
122
123
124
125.
126
127
*
*
[53-207] 53-208. License application.
*
*
*
[53-206] 53-207. License issuance; initial fee.
*
*
5
128
129
*
*
 PDF to HTML - Convert PDF files to HTML files
130
131
132
133
134
[53-208] 53-209.
Individual licenses.
*
(
a)
*
*
[53-210] 53-211. Individual new license lottery.
If
the number of applications filed by qualified individual applicants as
defined under Sections 205 and 209 equals or is less than the number
of new licenses authorized for individual use in a 2-year period, the
Director must issue a license to each qualified applicant.
If
the number
of applicants from qualified individuals exceeds the number of new
individual licenses authorized for that period, the Director must conduct
a lottery among each group of qualified individuals with an equal
number of years' experience regularly driving a taxicab in the County
to determine the priority of issuance.
(b)
Licenses issued by lottery must be awarded under the procedures ofthis
Section and Section 205.
(c)
The Director may conduct a separate lottery for:
(1)
(2)
(3)
(d)
new licenses for accessible taxicabs; and
other new licenses that become available[; and
any other authorized license that become available].
135
136
137
138
139
140
141
142
143
144
145
146
147
148
A lottery must be conducted so that each qualified applicant has an
equal probability of receiving a license, subject to the seniority ranking
required by Section 205(c).
149
150
151
152
153
154
155
156
(e)
A lottery may be conducted in 2 separate phases. Phase 1 would
determine the recipients of available individual licenses and continue
until all available licenses have been awarded. Phase 2 would create an
eligibility list for issuance of individual licenses that later become
available. The drawing in Phase 2 must continue until twice the number
of available licenses have been drawn, or a smaller number if sufficient
6
 PDF to HTML - Convert PDF files to HTML files
157
158
159
160
161
162