November 11, 2003

 

SUBJECT: Proposed Revisions to Sunnyvale Municipal Code, Chapter 5.36 Pertaining to Taxicabs 

REPORT IN BRIEF

The City’s Municipal Code provisions related to taxicabs have not been revised in over a decade.  Staff believes that the proposed changes will clarify some issues that arise during the application process and will enhance the City’s ability to manage the taxi program.

Taking into account the input from the Franchise owners, the citizens of Sunnyvale and the Department of Public Safety, staff proposes ordinance revisions as outlined in this Report. 

BACKGROUND

In June of 2002 Council recommended that the Taxi Ordinance be a study issue to be completed by the Department of Public Safety with support from the Office of the City Attorney. The existing ordinance, Sunnyvale Municipal Code Chapter 5.36 was last rewritten in 1984 and has had only minor revisions since. 

The City of Sunnyvale has experienced very few problems with the companies that provide taxi service to our community.  We have been fortunate that in our current difficult economic times, we have five valid franchise agreements and two in the application process.  This affords our citizens more than 35 approved taxis available to serve the community.   We have also had few problems in the area of community complaints, which speaks to caliber of the companies as well as the relationship Public Safety establishes with them during the application process, and continues to maintain throughout the life of the franchise. 

EXISTING POLICY

Sunnyvale Municipal Code Chapter 5.36 

DISCUSSION

The Department of Public Safety recommends the following aspects of the ordinance be changed:

1.      Modify the franchise term to allow for extension in the event that a council presentation can not be scheduled provided all other terms are met.

2.      Remove the requirement for a local business office and replace with a mandatory toll-free telephone number for to the public to file complaints about services received.

3.      Require that all vehicles to be operated under a franchise must be presented to the Department of Public Safety for inspection on or before the first day of March every year.

4.      Specify that all Driver Permits are valid from January-December regardless of issuance date.

5.      Provide that no permit shall be issued to any person: convicted of any felony, or convicted of a misdemeanor indicating a potential risk to the public within five years of the application date.

6.      State that the Driver Permits will display the name and photograph of the driver, date of expiration, and the name of the licensed franchisee (employer).  The driver will pick up the permit at Public Safety Headquarters.  It is the obligation of the franchise owner to notify DPS of any driver terminated and the permit shall be confiscated and returned to Public Safety with written notice of termination.

7.      Allow for the use of any County Sealer of Weights and Measures to certify the taximeter.

  

 

At the Study Session on October 7, 2003, Council requested information comparing the Sunnyvale Taxi Program with programs from surrounding and/or comparable cities.   One of the concerns raised involved a request from a franchise owner to lower the insurance requirements.  Public Safety maintains its recommendation that the insurance requirements remain as is.  The department continues to be the example that other cities use to set their standards.

 

Staff collected the information as follows:

 

TAXI INSURANCE REQUIREMENTS

 

Person

Property

Sunnyvale

$1,000,000 injury/death per person per occurrence

$1,000,000 property damage/per occurrence

Mtn View

$300,000 injury/death 1 person/occurrence.  $500,000 injury/death 2 or more persons any one occurrence

$100,000 property for any one occurrence

Palo Alto

$600,000 combined single limit

 

San Jose

$1,000,000 inside airport, $300,000 outside airport

$1,000,000 min. 5 vehicles

Campbell

$100,000 injury/death to 1 person/occurrence.  $200,000 injury/death more than 1 person/occurrence

$50,000 for property damage for any one occurrence

Santa Clara

$1,000,000 injury/death

$1,000,000 property 

Cupertino

$100,00 injury/death to 1 person/occurrence               

$300,000 injury/death more than 1 person/occurrence

$50,000 for property damage for any one occurrence

 

TAXI FEE COMPARISON

 

 

 

Taxi Franchise

Vehicle Fee

Taxi Driver Permit Fee

Sunnyvale

$343 good for 2 years

$175.00 per vehicle/per quarter

$75 Original  

$43 renewal

Mtn View

$98 Original                 $53 Renewal good for 1 year

$16 per vehicle per year

$103/yr,

$53 renewal

Palo Alto

$1,750 Original good for 1 year                 $710 Renew

$61.00 per vehicle per year

$70 2-4 years                        $44 Livescan fingerprints

$26 transfer 

San Jose

$1,790 per year

$64.00 per vehicle per year

$137- 2 year permit                   $95 test  

Campbell

$1,305

 

 

Santa Clara

$500

$25 per vehicle (one time)

$25 per driver $5 permit $60 Written Test, $25 Map Test  Total $115 per year

Milpitas

Don't Regulate

 

 

Cupertino

$1,384 per year

$0

$167 Original good for 1 year /$41 Renewal

 

FISCAL IMPACT

In maintaining the cities current practice of non-exclusive franchises allowed in the city, Sunnyvale will continue to provide opportunities for businesses to operate in the city as well as maintain a competitive market for consumers.  In addition it does not limit the revenue opportunities for the city.

PUBLIC CONTACT

Public contact was made through posting of the Council agenda on the City’s official notice bulletin board, posting of the agenda on the City web site and publication in the San Jose Mercury News.   

ALTERNATIVES

1. Approve recommended changes to the ordinance.

2. Do not approve the changes.

3. Direct staff to conduct further study.

 

RECOMMENDATION

Staff recommends Alternative 1.

 

Prepared by:


Rachel Vasquez

Sr. Office Assistant

 

Reviewed by:


Irwin I. Bakin

Director, Department of Public Safety

 

Approved by:


Robert S. LaSala

City Manager

 

Attachments

A. Ordinance