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HomeMy WebLinkAbout07/17/2007, PH 3 - PUBLIC HEARING TO CONSIDER REQUEST FROM BEACH CITIES TAXI CAB COMPANY TO INCREASE THEIR PER MILE FE i councit 7/17/2007 j ac en ba aepmt C I T Y OF SAN LUIS OBISPO FROM: Jay Walter,Director of Public Works Prepared By: john Webster, Sr., Transit Manager SUBJECT: PUBLIC HEARING TO CONSIDER REQUEST FROM BEACH CITIES TAXI CAB COMPANY TO INCREASE THEIR PER MILE FEE CAO RECOMMENDATION Adopt a resolution approving a request from Beach Cities Taxi Cab Company (Beach Cities Cab) to modify its schedule of rates. The MTC recommendation will be red filed to Council after its July I I"'meeting. DISCUSSION Background In March of 2007, the City received a written Table 1: Pro osed Fee Schedule request for rate increase form Beach Cities Taxi for 2007. This rate increase request is the fourth rate Fee Type Current Proposed Change increase request since 2004 and is for an increase of PickUp $ 3.00 $ 3.00 $0.00 $.50 per mile. The request was received at a time Per Mile $ 2.50 $3.00 $0.50 when the Transit Manager position was vacant and Wait Time $25.00 $25.00 $0.00 has needed to await.the arrival of the new Transit Min $10.00 None N/A Char e Manager. In exchange for the rate increase, Beach Credit $ 4.00 $ 4.00 $0.00 Cities Cab is offering to discontinue its $10.00 Card Use minimum charge rate and will hold future rate increase requests until 2009. Table 2: Historical Rate Increase Requests-Beach Cities Request# 1 2 3 4 Request date: 2-27-04 4-21-05 10-06-05 03-07-07 MTC Date: No MTC 5-11-05 1-11-06 7-11-07 CC Date: 4-20-04 6-21-05 2-7-06 N/A Request: Pick up fee$2.50 to Mileage$2.00 to Mileage$2.15 to Mileage$2.50 to $3.00 $2.15 $2.50 $3.00 Percentage 20% 16.3% 7.5% 20% Increase Gas Price: $2.029 $2.56 1 $2.964 $3.15 Taxi Cab rate requests.are normally reviewed by the Mass Transportation Committee. The MTC is scheduled to review and make recommendations to the Council on this issue at its July 11th, 2007 meeting. Staff will be.forwarding a revised Council Agenda Report as a "Red" Beach Cities Cab Rate Increase Request Page 9 file after the MTC has considered and taken action on this item. Municipal Code Requirements The Municipal Code Section 5.20.160 requires that taxi cab certificate holders apply to the.City to modify their fee schedules, and for the Council to hold a hearing, following written notice to each certificate holder,before deciding to approve or disapprove any fee increases. Justification for Fee Increase Beach Cities Cab's request for a fee increase is directly related to the recent significant increases in gas costs. Beach Cities Cab is presently the only cab company operating in the City. Their fleet expansion has been accompanied with a corresponding increase in costs for insurance, workers' compensation, and vehicle maintenance. Table 2 compares the rates between Grover Beach Taxi and Table 3: Fee Comparison Beach Cities Cab. Based on this table, Beach Cities Cab Grover rates will consistent with other taxi providers in the county if Fee Type Beach Beach its request is approved. Cities Taxi Pick U $ 3.00 $ 3.00 FISCAL IMPACT Per Mile $ 3.00 $ 3.00 Wait Time $25.00 NA There will be no financial impact to the General Fund. Credit Card $ 4.00 Cash only Use CONCURRENCES The Mass Transportation Committee will consider the Beach Cities Cab request for the fee increase at its meeting of July 17th, 2007. ALTERNATIVES The Council could deny Beach Cities Cab request for a fee increase and require it to continue operating at under its current fee schedule. This is not recommended because it affects the ability of Beach Cities Cab to meet rising operational costs and could possibly jeopardize the availability of cab service within the City. ATTACHMENTS 1. Resolution 2. Beach Cities Cab Rate Increase Request G:\Staff-Rcpons-Agendas-Minutes\_CAR\2007\Transportation\Transit\Taxi CAR Beach City Cab Rate Request#5-PRODUCTION.doc .;3; Z ArmcAmf-N- I RESOLUTION NO. (2007 Series) RESOLUTION APPPROVING REQUEST FROM BEACH CITIES CAB COMPANY TO MODIFY THEIR SCHEDULE OF RATES WHEREAS, the City Council of the City of San Luis Obispo desires to provide for taxi service for its citizens; and WHEREAS,Beach Cities Cab Company is a current taxi operator in the City of San Luis Obispo; and WHEREAS, the City has received an application from Beach Cities Cab Company to increase their schedule of rates; and WHEREAS, the proposed rate increase is consistent with increasing operational costs. NOW THEREFORE,BE IT RESOLVED that the City Council of the City of San Luis Obispo approves the schedule of rates for Beach Cities Cab Company as set forth in Exhibit A. Upon motion of seconded by , and on the.following roll call vote: AYES: NOES: ABSENT: The foregoing resolution adopted this day of 2006. Mayor Dave F. Romero ATTEST: Audrey Hooper City Clerk APPROVED AS TO FORM: Jonathan P. Lowell City Attorney R �'—3 EXHIBIT A BEACH CITIES CAB COMPANY SCHEDULE OF RATES Fee Type Fee Pick Up $ 3.00 Per Mile $ 3.00 Wait Time $25.00 Credit Card Use $ 4.00 3 - y A-TTi�L(tMENi Z r I Cities Cab Co., Inc. R DESIGNATED DRIVER= Beach CiptiiesACpab ., Inc. YOURDWEFr- Local 1$05.543.1234 Toll Free 1-866-GO-CAB-GO Toll Free 1.86640-CAB-00 FAX(805)787-M 32 P.O.Bwt 8B6 JEFF GOLDENBERG Pfsmo 8eeah.G�93449 Pr'SUMM a F'U'dw . Attn: Sabrina Haggie City of San Luis Obispo 919 Palm St. San Luis Obispo, CA 93401 From! Beach Cities Cab Companies, Inc. Date: March 7, 2007 RE: Rate Fee Requests I am asking for City Council approval to allow my rates to be raised .50 per mile, effective April 15, 2007. With the current gas prices going up and my insurance premiums being raised, I see no other way to defer excess costs than to raise my rates. This will also do away with our $10.00 minimum fee. My last rate increase was in March of 2006. Keeping inline with other taxi companies around the Country, with fleets above 25, $3.00 per mile is the standard. Based on the upgrade to the cars in my fleet and therefore my lower maintenance costs, this will be the last fare increase I request until March 2009. Your quick response in a Council date would be greatly appreciated. Please forward your approval directly to myself and the Department of Weights and Measures. Best regards, eff Goldenberg. CEO/Founder Beach Cities Cab Companies, Inc. OF llli�� MAUL Islt,�EM1J/�A/VDN1"1 1 Iii Date: July 12, 2007 RECEIVED TO: City Council JUL 16 2007 SLO CITY CLERK VIA: Ken Hampian, City Administrative Officer FROM: Jay Walter, Public Works Director SUBJECT: MTC Action: Beach Cities Cab Company Fare Increase The purpose of this memo is to provide the Council with a status update regarding the Mass Transportation Committee (MTC) review and recommendation for the Beach Cities Cab Company fare increase. The MTC met on July 11, 2007 and after consideration of the staff report they unanimously approved the staff recommendation to grant the requested fifty-cent ($0.50) per mile fare increase with the stipulation that Beach Cities Cab (BCC) would eliminate the $10.00 minimum fee per ride currently charged, and not seek another fare rate increase until at least March of 2009 as stated in the rate fee request letter dated March 7, 2007 from BCC President/Founder Jeff Goldenberg. There are no direct fiscal impacts to the General Fund due to the recommendations by the MTC on this issue. GATmnspD=ui Daml_Unsortad SNMTransporUdbn%Trmvsportetbn Commkum\rlTC Commdt oTY 200MRogular maoting July 11,200TRED FILE COUNCIL MEMORANDUM Beach Cities Cab Co.Fare IrKTease July-12-2007Aoc AFLD �a �` � IWCCUNCIL CDD DIR RED FILE ID CA FIN DIR 'C�ACAO il FIRE CHIEF MEETING AGENDA 19 ATTORNEY W"Pw DIR DATE07*7ITEM #�3 CLERK/ORIG �POLICE CHF ❑ DEPT HEADS {g pEC DIR �,p' ;,r UTIL DIR =� &` HR DIP Y CMVL �R, I- &q o ~ lit CITY OF SAN LUIS OBISPO MASS TRANSPORTATION COMMITTEE SLOCOG OFFICES WEDNESDAY, JULY 11, 2007 DRAFT CALL TO ORDER: Chair Jean Knox called the meeting to order at 2:50 p.m. ROLL CALL Present: Jean Knox, D. Gregg Doyle, Susan Rains, Diana Gould-Wells, Christine Batteate, Margaret Crockett, Kathy Howard and Denise Martinez Absent: Tracey Amundson Staff. John Webster and Sabrina Haggie ANNOUNCEMENTS s. Knox noted that due to the switch in meeting venues, Ms. Hooper could not be present to s in new member at large Margaret Crockett. Mr. Doyle ted that the agenda roll call should now list Denise Martinez as Vice Chair. PUBLIC CO TS Don Miller, Route #2 ride , ad been in communication with various staff/organization members about needing to get more b' rack capabilities available, reporting that he had been unable to ride several times because the ra s were already filled. He now stated that the bus had a 3- position bike rack in place and wan d to thank staff for all their efforts to make this happen. A. CONSENT ITEMS A-1 Approval of May 9, 2007 Meeting Mi tes Ms. Knox requested that due to the lateness of the ting start and the pending presentations, MTC table the minutes' approval until the next meetin There were no objections. Mr. Doyle su sted sandwich boards at the Cal Poly W and Mott Gym stops. He also noted that the commun should be targeted with ads as well to reach the people that currently do not ride the bus becaus ere had been no evening service, so as to inform them that there is now evening service availa Ms. Howard felt that the lac f service amendments/expansions during the summer months were unfair to seniors who wo like to also utilize the evening service, e.g. Farmer's Market, Friday Night Plaza concerts, etc. a did not feel that schedules should always be tied to the student population. Mr. Webster a ed to discuss the concerns further with Ms. Howard to see how to address the issue. Mr. Doyle suggested using the Trolley sere for Thurs./Friday evening service for the seniors. Ms. Haggie discussed the new Descanso reverse op, which will become effective September 4, 2007. B4 Bikes on Transit Vehicles Mr. Webster reported that his office was dedicated to retrofi ' g/equipping new vehicles with the 3-position bike racks. Mr. Blakeman discussed the reasons why bike_ racks installed at the ck of busses was a dangerous set-up. C. ACTION ITEMS C-1 Fare Increase for Beach Cities Cab Mr. Webster discussed the March 7,.2007 request from Jeff Goldenberg President/Founder of Beach Cities Cab Company for a fifty-cent ($0.50)per mile fare increase which would bring the proposed rate to $3.00 per mile. He reported that the increases in fuel and insurance costs prompted the applicant's request, and seems reasonable due to the volatility of gasoline prices. He stated the applicant was attempting to address customer complaints and if the fee increase were granted, the applicant would eliminate the current $10/minimum charge per ride and would not request another increase until March 2009. Mr. Doyle moved to approve the request for an increase to a $3/mile charge, providing the applicant dropped any minimum fare requirement and did not request another fee increase until at least March 2009. Ms. Rains seconded the motion. The motion passed unanimously.