sr-063009-7b~~
c;cror City Council Report
Santa blonica°
City Council Meeting: June 30, 2009
Agenda Item:
To: Mayor and City Council
From: Elaine Polachek, Deputy City Manager
Subject: Ordinance to Establish Franchise System for Regulation of Taxicab
Operations and Modifying Existing Provisions Applicable to Taxis and
Vehicles for Hire
Recommended Action
Staff recommends that City Council introduce for first reading an ordinance to establish
a franchise-based system for the regulation of taxicab operations and modify existing
provisions applicable to taxis and vehicles for hire.
Executive Summary
A recent study of taxicab operations in Santa Monica found. a consensus among cab
companies and drivers presently operating in the City, the business community, and
City staff that there are too many cabs for the market. Further, there are multiple
problems presented by the current open-entry taxicab permitting system which prevent
the City from- reducing vehicle emissions, limiting the number of taxicabs, setting
uniform fares, and requiring taxicab companies to meet operating standards. The 2009
survey of Santa Monica residents identified. traffic issues as a top concern. _ At their
February 10, 2009, consideration of the taxicab study, Council directed staff to provide
information on a medallion-based system as an alternative to the recommended
franchise system; and to recommend economically viable criteria for selection of taxicab
operators with an emphasis on environmentally-friendly fleets, safety criteria, discounts
for seniors and persons with mobility impairments, operator viability, quality of service
and enforceability of standards. Staff recommends adoption of an ordinance to
establish afranchise-based system for the regulation of taxicabs, which would limit the
number of taxicab companies to between four and eight companies, limit the total
number of vehicles in the taxicab fleet to 250, require franchisees to meet standards for
their vehicles and drivers, and be self-supporting through franchise, vehicle permit and
driver permit fees.
Background
In October 2006, the Task Force on the Environment recommended to City Council that
it direct staff to develop an ordinance initiating a franchise system and awarding
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franchises only to taxi companies whose fleets met specific emission and mileage
standards. At their February 10, 2009, meeting City Council commented on the
excessive number of cabs, especially in the downtown area, and the need to reduce.
their impact on the City and on the environment. The City has also received complaints
regarding taxis cruising for business; poor customer service from drivers; confusing and
high fees; lack of discounted services for senior and disabled residents; and taxicabs
with Santa Monica permits operating as "bandit" taxis in Los Angeles and other cities.
Traffic has become an increasing concern to Santa Monica residents and in the 2009
resident survey, traffic continued to be at the top of the list of issues of most concern to
Santa Monica residents. In their consideration of the LUCE, Council endorsed
guidelines to .manage and reduce traffic, supporting a policy of "No Net New Trips" as
the basis for traffic management and promoting sustainability. Limiting the number .of
taxicabs and establishing enforceable standards would promote this policy.
Since the City has no experience with alternative taxi regulatory mechanisms, a study
was conducted to help assess options for regulating taxicab operations. The study,
conducted by Nelson/Nygaard Consulting Associates, concluded that:
• Santa Monica has too many taxicabs and too many taxi companies for the
population;
• The City's present open-entry form of regulation, which relies on market forces,
does not ensure either quality taxi service or a healthy taxicab industry;
• The City should establish a taxi franchise system which uses a competitive
Request For Proposals (RFP) process to award franchises to at least four but no
more than eight cab companies, each with a minimum fleet size of at least 25
vehicles, and which limits the total number of authorized cabs to between 200
and 300;
Franchised cab companies should be required. to meet financial, technical and
service standards for themselves, their vehicles and their drivers as a franchise
condition in order to ensure quality services.
At the March 3, 2009 Council meeting, staff recommended that Council adopt an
emergency ordinance establishing a moratorium on the City's approval and issuance of
new taxicab licenses and permits in Santa Monica pending the establishment of a new
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system for regulating taxicab operations within the City. Council directed staff to return
with an ordinance but chose not to impose a moratorium on new licenses in the interim.
Discussion
Santa Monica does not presently limit the number of cabs operating in the City and
issues permits to any .taxicab owner who meets insurance and other minimal
requirements. In 2007-2008, when Nelson/Nygaard conducted its study, there were
412 cabs operated by 55 companies in the City. Since then, the numbers have
increased by 24% and there are now 511 permitted cabs operated by 55 cab
companies to serve a resident population of 91,000. Twenty of these cab companies
consist of a single vehicle and 23 other companies consist of 2-10 vehicles. Taxi
drivers in Santa Monica. currently average about $24,000 in annual income, due to the
over-saturation of the market. Despite heavy competition, taxis in Santa Monica mostly
charge higher rates than taxis in other nearby cities. Compared to nearby cities, Santa
Monica has a much higher cab to population ratio. The President of the Los Angeles
Board of Taxicab Commissioners informed the City that as of May 23, 2007, taxicabs
with Santa Monica permits are the single highest source of "bandit" cabs found to be
operating illegally in Los Angeles without meeting L.A.'s stricter standards for vehicles,
drivers and cab companies.
The current open-entry system does not provide a regulatory framework to enable the
City to establish requirements used by many other cities, including:
• placing limits on the number of cab companies allowed to operate in the City and
establishing rules governing their operation.
• limiting the total number of taxicabs that can operate in the City in order to allow
both companies and drivers to achieve reasonable earnings.
• establishing either a single fare structure or a maximum fare.
• limiting the. age of taxi vehicles and/or establishing strict standards for
appearance and safety..
• requiring each company to have a distinctive name and color scheme, with
unique vehicle numbers, so that customers can easily distinguish among
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companies and City staff can more easily enforce rules and investigate
complaints.
• requiring effective radio/computerized dispatching to avoid drivers
cruising/waiting for walk-up business, ensure service to customers and improve
driver/customer security.
• requiring driver training and testing in order to-meet standards for knowledge of
City rules, geography and English.
• requiring each company to provide wheelchair accessible vehicles
encouraging or incentivizing the utilization of vehicles that promote. better air
quality and/or fuel efficiency:
• encouraging or incentivizing the provision of discounts for seniors and persons
with mobility impairments.
Medallion-Based Systems
At their February 10, 2009, meeting; Council directed staff to explore amedallion-based
system as a possible alternative. Medallion systems, like those used in New York,
Boston or San Francisco, impose a cap on the number of vehicles with provisions for
the automatic renewal of vehicle .licenses and for the transfer/sale of licenses between
vehicle owners, conditioned only on City approval of the new owners' qualifications.
The initial sale of the medallions would 'provide one-time revenues to the City, but the
medallion would then become a commodity to be re-sold by the owner at market rates.
Medallion systems are most common in large, dense cities with the need for large,
economically viable taxi fleets.
While the medallion system would limit the number of taxicabs, it makes enforcement of
service standards difficult. as the City would continue to have the labor-intensive task of
enforcing service standards on the individual vehicle owners and individual drivers as
opposed to a limited number of companies under a franchise system.
In addition, the medallion system does not provide a structure to increase the taxicab
driver's income. It is common for multiple medallions to be purchased by companies or
individuals acting on behalf of companies, who then lease the medallions to individual
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drivers. It has been suggested that the City could establish a medallion system that
limits medallion sales to single driver-owners, using increased driver incomes as a
means of assuring quality customer service.' However, there is no mechanism whereby
the City could ensure that individuals purchasing medallions are not acting as agents for
other entities. Medallions are usually sold through auction by the local government:
The most recent auction held by New York City resulted in average winning bids in
excess of $413,000 per medallion from a minimum bid requirement of $189,000. With
the high value of medallions as a limited commodity, financing models have arisen,
such as the Medallion Financial Group, a publicly traded specialty finance company.
With the cost of a medallion controlled by the market, medallion owners often raise
lease fees making it harder for drivers to make a profit.
Proposed Changes to Current Taxi Ordinance and Creation of New Taxi Chapter
Staff is proposing the creation of a new chapter of the Municipal Code (6.49) that
establishes a franchise-based system for taxi operations as well as regulations
applicable to taxis. Chapter 6.48 of the Municipal Code would be revised to contain
only the most basic requirements pertaining to all vehicles for hire such as insurance,
business license and direct routing.
The proposed taxi franchise provisions specify criteria for franchise applicants, establish
a process for granting and revoking franchises, and list basic rules applicable to
operating taxis in the City. The ordinance limits the number of franchises awarded, the
total number of taxis in the City and sets a process by which those .numbers can
increase or decrease.
The proposed ordinance would strerigthen current provisions prohibiting illegal taxi
operations and impose additional requirements on franchised companies. Specifically,
the proposed ordinance established the following standards and requirements:
1. Use a competitive RFP process to award franchises to at least one but no more
than eight cab companies, each with a minimum fleet size of at least 25 vehicles
5
and each with a minimum percentage of vehicles that can accommodate a wheel
chair,
2. Establish an initial total limit of 250 vehicles permitted to operate in the City;
3. Structure the competitive RFP process so as to encourage the greatest use of
fleets consisting of SULEV and other fuel-efficient vehicles and encourage
bidding companies to propose enhancements beyond the minimum
requirements, as a means of selecting the franchisees and determining how
many cabs each company could operate;
4. Require that companies make available discounts to senior and persons with
mobility impairments;
5. Require that each company have a distinct name, color scheme and unique cab
numbers;
6. Require a centralized dispatching system, based either on radio or computerized
technology; record. keeping with both dispatch logs and driver logs; and a staffed
place of business (not necessarily in Santa Monica) where records are kept and
may be inspected and where customers may contact the company to make
complaints or retrieve property;
7. Require that companies provide training to their drivers on City requirements,
company procedures, defensive driving, map reading, local geography, customer
relations, personal hygiene, security and public safety, and non-discrimination in
the treatment of customers based on age, disability, ethnicity and gender;
8. Require that companies ensure that drivers are proficient in English so they can
.communicate directly with customers without the aid of cell-phone calls or other
translation assistance;
9. Require that companies be responsible for their drivers' compliance with City
regulations and state and local laws, including provisions for company-specific
fines and penalties for a persistent pattern of driver violations, including franchise
suspension or revocation for failure to enforce compliance;
10. Require .documentation of the cab firm's financial stability adequate to meet the
franchise standards, with a liability insurance coverage requirement of no less
than $350,000 combined single limit per vehicle;
11. Require vehicles to be no older than a specific number of years and be certified
by aCity-designated inspection facility for safety, mechanical reliability, meter
reliability, markings and required signage;
12. Establish a single metered fare rate equivalent to the prevailing fare set by the
Los Angeles Department of Transportation; and two flat rates for trips to LAX,
one for trips originating north of the 1-10 freeway and one for trips south of the I-
10freeway;
13. Establish annual franchise, vehicle permit and driver permit fees to cover all City
costs of administering the taxicab franchises; and
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14. Establish mandatory record keeping requirements to ensure accountability
Impact on Presently Permitted Taxicab Drivers and Companies
In order to reduce taxicab numbers to a reasonable ratio which will serve the City's
transportation needs, the number of taxicabs now permitted to operate will need to be
reduced by 50%. This would result in a decrease of 250 taxis. Of the 55 companies
now permitted to operate, 47 would not meet the suggested minimum fleet size of 25
vehicles per company under the recommended franchise structure. However, as the
drivers and small companies themselves suggested at the workshops, independent
drivers, single owner/operators and small companies have the option of forming their
own cooperatives or associations and submitting eligible bids, thus not limiting franchise
eligibility to the larger taxicab companies. At least one taxi cooperative, consisting of
drivers who own and operate their own taxi vehicles, is currently operating in Santa
Monica.
Vehicle Emission/Fuel Efficiehcy Standards
At its December 15, 2008 meeting, the Task Force on the Environment reviewed with
City Attorney's Office staff the issue of federal pre-emption of local standards for vehicle
emissions and fuel economy and adopted a motion stating its support for the.
establishment of a taxi franchise agreement that would maximize criteria for pollutant
reduction, greenhouse gas emission reduction, and' petroleum displacement for future
taxi operations in Santa Monica. Staff has reviewed the legal implications of setting
specific vehicle emission/fuel efficiency standards and has found that attempts to
impose stricter regulatory standards than those authorized by the federal Clean Air Act
and Energy Policy and Conservation Act have been overturned by courts based on the
doctrine of federal preemption. However, other cities, including San Francisco and New
York, have been able to achieve the goals of reducing emissions and dependence on
carbon-based fuels through incentives. Rather than limit taxicab fleets to compressed
natural gas-powered vehicles or hybrid electric vehicles, staff recommends a more
7
flexible approach that would evaluate proposals in a way that rewards bidders that
commit to using fleets consisting of SULEV and other fuel-efficient vehicles.
Discounted Fares for Senior and Customers with Disabilities
Residents have requested. that discounted taxi service be available to seniors and
persons with mobility .impairments. Bid evaluations will include points for companies
that commit to providing discounts to seniors and persons with mobility impairments.
Alternatives
As an alternative to adopting afranchise-based taxicab ordinance, Council could adopt
a medallion-based system as described above.
Financial Impacts & Budget Actions
There is no legal limitation on the amount of franchise fees that the City may impose for
the exclusive/limited privilege of operating a taxicab business on public city streets. The
costs to support; administer and enforce a franchise system can be recovered through
franchise, permit and inspection fees paid by the taxicab companies and drivers.
The following taxi and driver fees are currently in place:
Taxicab
- Taxi Decal Fee: $ 75.60
- Processing Fee: $144.61
TOTAL: $220.21
Taxi Driver (new)
- Processing Fee: $144.61
- Photo Badge: $ 84.55
- Fingerprint: $102.70
TOTAL: $331.86
Taxi Driver (renewal)
- Processing Fee: $144.61
- Photo Badge: $ 84.55
TOTAL: $229.16
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Staff recommends that the franchise fee and vehicle and driver permit fees be
established at rates both comparable to surrouriding cities as well as to fully cover the
costs of administering the franchise operations. At this time, it would appear that fees in
the following range would meet these objectives:
Annual franchise fee per cab firm: $10,000
Annual vehicle permit fee per taxicab: $ 875
Annual driver permit fee perdriver: $ 150
Administration of the proposed franchise system would be performed by the Traffic
Division of the Police Department and would consist of annual review of the franchise-
holder's performance, on-going processing of vehicle and driver permits, and
supervision of the vehicle inspection/certification process by aCity-designated facility.
Prepared by: Pamela McGarvey, Acting Revenue Manager
Approved:
,~~
~l~'~~
Elaine Polache c
Deputy City Manager
Attachment 1 -Taxicab Ordinance
Forwarded to Councili
9
~mont Ewell
Manager
City Council Meeting 06-30-2009 Santa Monica, California
ORDINANCE NUMBER (CCS)
(City Council Series)
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA
AMENDING CHAPTER 6.48 OF ARTICLE VI OF THE SANTA MONICA
MUNICIPAL CODE RELATING TO VEHICLES FOR HIRE; ADDING CHAPTER
6.49 TO ARTICLE VI OF THE SANTA MONICA MUNICIPAL CODE TO
ESTABLISH TAXICAB FRANCHISES; AND AMENDING SECTIONS 6.04.110,
6.04.160, 6.04.170,_ 6.04.220, 6.08.210, 6.12.010, AND 6.14.080 OF ARTICLE
VI OF THE SANTA MONICA MUNICIPAL CODE REGARDING TAXICABS.
WHEREAS, the City of Santa Monica ("City" or "Santa Monica") is a small,
extremely dense, older coastal city consisting of just 8 square miles of land bordered on
one side by the Pacific Ocean and on three sides by the City of Los Angeles; and
WHEREAS, large numbers of taxicabs currently operate on the City's crowded
streets, as do other types of vehicles for hire; and
WHEREAS, Santa Monica's current regulation of taxicabs is based on an open-
entry system, which has resulted in numerous problems, including an oversupply of
taxicabs in the local market; traffic congestion and parking problems, especially in the
downtown area; a wide and confusing range of fares; a lack of discounted fares for
senior and disabled residents; passenger complaints; poor customer service; low
income for taxicab drivers; taxicab drivers operating illegally in Los Angeles; and air
pollution from older vehicles and taxicabs cruising city streets for business; and
1
WHEREAS, in October 2006, the Task Force on the Environment recommended
that the City Council direct City staff to develop an ordinance to protect the environment
by awarding franchises to taxicab companies that met certain emission and mileage
standards: and
WHEREAS, pursuant to the City Council's direction thereafter, Nelson/Nygaard
Consulting Associates was retained to research and evaluate Santa Monica's current
taxicab regulatory system and whether Santa Monica should adopt afranchise-based
taxicab regulation system in conjunction with setting air quality performance standards
in awarding taxicab franchise agreements; and
WHEREAS, Nelson/Nygaard Consulting Associates issued a Santa Monica Taxi
Study Technical Memorandum and Executive Summary on March 28, 2008, corrected
May 2008 ("Memorandum"), recommending that Santa Monica establish a taxicab
franchise system using a competitive Request for Proposals process to award
franchises to a minimum of 4 and a maximum of 8 taxicab companies, with a total cap
of between 200 and 300 taxicabs authorized to operate in the City; and
WHEREAS, based on the findings and recommendations in the Memorandum
and to address and resolve the existing problems with the City's taxicab operations, City
staff researched and drafted new and revised regulations in order to switch from the
current open-entry regulatory scheme to a taxicab franchise system; and
WHEREAS, on March 3, 2009, City Council directed staff to bring forward a
proposed taxicab franchise ordinance; and
WHEREAS, based on the foregoing, the City finds that the franchising of
taxicabs is necessary to assure reliable, safe, quality taxicab services in the City and to
2
eliminate undue congestion and air pollution, disorganization and hazards associated
with the City's current open-entry regulated taxicab environment,
THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES HEREBY ORDAIN
AS FOLLOWS:
SECTION 1. Chapter 6.48 of Article VI of the Santa Monica Municipal Code is
hereby amended as follows:
Chapter 6.48
~46~8'a VEHICLES FOR HIRE
Sections:
6.48.010 Definitions.
6.48.020 Non-motor vehicles.
6.48:030 Business license required.
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6.48.0640 Compulsory insurance coverage.
6.48.050 Driving of vehicles.
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6.48.4060 Direct route.
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6.48.4-4070 Penalty for violation.
6.48.010 Definitions.
For the purposes of this Chapter certain words and phrases are defined and certain
provisions shall be construed as herein set forth, unless it is apparent from the context that
a different meaning is intended.
(ba) Vehicle for Hire. "Vehicle for hire" includes taxicabs, limousines and every
automobile ormotor-propelled vehicle, ^+her+h..n +.+.i n.,hc ..,.f ,,.., r.,ne,f ,.;+h ., +.,.,•rr.n+nr
used for transportation of passengers within and without the boundaries of the City not over
a defined route, at rates per mile, per trip, per hour, per day, per week or per month.
Th~c c'c°c ^c+.:^c!::c'° :~°..".!~!°° Vehicles leased or rented for a period of time to be driven
by the lessee. or his or her designee are not included.
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4
6.48.020 Non-motor vehicles.
Prior to applying for a license, Any ~ non-motor propelled vehicle for hire used for
transportation of passengers ~ must be approved by the-Shie~ef
+^~ ^°"^ ~^~' '~^,^ °' °°'^~ "~~° City Manager or the City Manager's designee, who shall
assess the vehicle's impact on safety and traffic circulation. (Prior code § 6401; amended
by Ord. No. 1143CCS, adopted 1/8/80)
6.48.030 Business license required.
No person shall conduct any vehicle for hire business without having first obtained a
business license ^^'' ^'°^^' f^' °.,^" "°";^i° .. ~-,+...+ ~.. +"„ r.+., f...... +"„ ra.; ^ i
8#iEe in compliance with this E~ede Article. (Prior code
§ 6402; amended by Ord. No. 1143CCS, adopted 1/8/80; Ord. No. 1851CCS § 24 (part),
adopted 5/28/96)
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6.48.0640 Compulsory insurance coverage.
Before any license is issued or renewed, the owner of the vehicle for hire shall be
required to file proof of insurance with the ;~~~;s~-^offiee Police Department arm
9
#h f+ L F n + ,+ ~ + r s' +h f ~+ in the amount
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specified in the rules and regulations adopted by the City Manager pursuant to Section
6~-:9~9-e~this Chapter 6.49. This policy must "° ° ^ +°~' "•• ^ ,
n°n+nhl° +n +hn r-;+., 'n nn insure the public against any loss or damage that may
result to any person or property from the operation of such vehicle. No person shall operate
any such vehicle without having a policy as described in this Section in full force and effect
at all times during the operation of such vehicle. (Prior code § 6405; amended by Ord. No.
1143CCS, adopted 1/8/80; Ord. No. 2126CCS § 8, adopted 6/15/04)
6.48.050 Driving of vehicles.
Vehicles for hire shall be operated by the owner or by an employee of the owner. (Prior
code § 6406; amended by Ord. No. 1143CCS, adopted 1/8/80)
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12
6.48.060 Direct route.
Any driver of a vehicle for hire employed to carry passengers to a definite point shall
take the most direct route a practicable that will carry the passengers safely and
expeditiously to their destination u nless otherwise requested by the passenger. (Prior code
§ 6411; amended by Ord. No. 1143CCS, adopted 1/8/80)
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13
6.48.a-4070 Penalty for violation.
Any person violating anyprovision of this Chapter shall be guilty of an infraction, which
shall be punishable by a fine not exceeding two hundred fifty dollars, or a misdemeanor,
which shall be punishable by a fine not exceeding one thousand dollars per violation, or by
imprisonment in the County Jail for a period not exceeding six months, or byboth such fine
and imprisonment. (Added by Ord. No. 2006CCS § 3, adopted 4/24/01)
SECTION 2. Chapter .6.49 is hereby added to Article VI of the Santa Monica
Municipal Code to read in its entirety as follows:
Chapter 6.49
TAXICABS
Sections:
6.49.010 Definitions.
6.49.020 Rules and regulations.
6.49.030 Authority of designated employees of the Police Department to
have access to summary criminal history information.
6.49.040 Taxicabs--Franchise required.
6.49.050 Taxicabs--Suspension/revocation of franchise.
6.49.060 Unauthorized taxicab services prohibited.
6.49.070 Taxicab driver's permits.
6.49.080 Taxicab--Identification and operating requirements.
6.49.090 Parking of vehicles: stands.
6.49.100 Taxicab signs.
6.49.110 Taximeters and rates.
6.49.120 Full use of taxicab.
6.49.130 Taxicab identification decal required.
6.49.140 Penalty for violation.
14
6.49.010 Definitions.
For the purposes of this Chapter certain words and phrases are defined and certain
provisions shall be construed as herein set forth unless it is apparent from the context that
a different meaning is intended.
(a) Stand. "Stand" shall mean a place designated by the Parking and Traffic
Engineer of the City for use by any vehicle licensed hereunderwhile awaiting empldyment.
(b) Taxicab. "Taxicab" includes every automobile and motor-propelled vehicle
which is designed to carry not more than eight (8) persons, excluding the driver, and is
either equipped with a taximeter or a top light or has the words "taxi " "cab" or "taxicab"
displayed on the exterior of the vehicle and used for the transportation of passengers for
hire within and without the boundaries of the City, at rates for distance traveled, or for
waiting, standby or traffic delay time, or for any combination of such rates, and not
operating over a defined route.
(c) Taxicab Franchisee or Franchisee. "Taxicab franchisee" or "franchisee"
includes a person firm, association sole proprietorship, stock corporation, co-operative
organization or other entity however organized including the management and officers
thereunder that is awarded a taxicab franchise by the City and operates a taxicab service.
(d) Taximeter. "Taximeter"includes a device that automatically calculates a
predetermined rate or rates for taxicab services and indicates the charge for the hire of a
taxicab.
15
6.49.020 Rules and regulations.
The Police Department of the City of Santa Monica is authorized to adopt rules and
regulations consistent with this Code and necessary to implement this Chapter and the
franchise agreements. Such rules and regulations may include, but are not limited to,
provisions:. governing taxicab service and safety; prescribing limitations conditions and
qualifications of applicants for vehicle permits and driver permits and pertaining to the
responsibilities of taxicab franchisees and drivers.-Such rules and regulations shall be filed
in the office of the City Clerk where they shall be made available for inspection by the
public. Violations of rules and regulations issued pursuant to this Section shall constitute
violations of this Chapter, and shall subject the violator to the penalties set forth in this
Chapter.
6.49.030 Authority of designated employees of the Police Department to have
access to summary criminal history information.
Police Department employees assigned to or having responsibility for permitting and
licensing pursuant to this Chapter shall have the authority to obtain state and local
summary criminal history information pursuant to Sections 11105(b)(11) and 13300(b)(111
of the Califorriia Penal Code.
6.49.040 Taxicabs--Franchise required.
(a) The City may in its discretion award one (1) or more, but no more than eight
(8), nonexclusive franchises for the operation of taxicab services within the Citv. Upon
issuance of one (1) or more franchises it shall be unlawful for any person other than a
taxicab franchisee and its employees or authorized agents to operate, engage in the
business of operating or cause to be operated any taxicab service within the City:
16
(bl Franchises shall be awarded through a competitive process initiated through
a request for proposals issued by the City. A franchise applicant shall propose to operate
no less than twenty-five (25) vehicles in the franchise fleet. Franchise proposals will be
evaluated based upon criteria including but not limited to, the following: the emissions
standards and fuel economy of taxicabs; the age and condition of taxicabs; provision of a
centralized dispatch system: past experience, including demonstrated quality of service
and safety driver gualifications• financial stability insurance record of violations by the
bidder or drivers of federal, state or local law, and rules and regulations relating to taxicab
~erations~ and extra services available to the public, including seniors and those with
disabilities. Taxicab franchise proposals shall be examined and evaluated by a committee
established by the City Manager which shall make recommendations to the City Council.
Upon the award of a franchise, the franchisee shall enter into a franchise agreement with
the City. The franchise agreement may impose obligations on the franchisee that are
additional to but not inconsistent with those imposed pursuant to this Chapter.
(c) The City may at any time initiate a competitive bidding process for the
issuance of new franchises. Nothing shall prohibit a taxicab franchisee from competing for
a newfranchise; however any taxicab franchisee whose franchise has been revoked shall
thereafter be prohibited from competing for award of a franchise for a period of three (3)
years following the scheduled expiration of its franchise agreement.
(d) The maximum number of taxicabs permitted to operate under the terms of all
franchises granted by the City sha(I not exceed two hundred and fifty (250) taxicabs, which
number may be adjusted by City Council from time to time.
17
(e) After notice and a hearing, the City Council may at any time reduce the total
maximum number of taxicabs operating within the City, upon finding that the number of
taxicabs is detrimental to the public health, safety, or welfare. If the City Council reduces
the number of permitted taxicabs, the reduction shall be reasonably allocated amongst
existing franchisees.
(f) The Citv Council may schedule a public hearing to determine, by resolution,
whether the public convenience and necessity require the operation of additional taxicabs.
in the Citv. Anv such resolution shall specify the number of additional taxicabs permitted.
Anv determination that the public convenience and necessity require the operation of
additional taxicabs in the Citv shall include, but are not limited to, findings that:
(1) The additional taxicabs will not substantially impair the ability of existing
franchisees, under efficient management, to earn a fair and reasonable return on their
capital investments in their franchises;
{2) Existing franchisees, under normal conditions, are not fulfilling the need for
taxicab services in the Citv; and
(3) The additional taxicabs: together with the taxicabs then currently operating in
the City. will not unduly congest, overburden or interfere with any traffic circulation, public
street access, public or private parking, or stands, or otherwise create ahv danger or
hazard to the public health, safety, or welfare.
(g) No franchisee shall operate a taxicab within the Citv unless the Police
Department has issued and the franchisee possesses a current taxicab vehicle permit for
that specific vehicle.
18
(h) No taxicab franchisee shall permit any driver in its employ to operate, and no
driver shall operate a taxicab in the City into which passengers are accepted for
transportation without having first obtained a valid driver's permit from the Police
Department and paid to the City the required taxicab driver's permit fee.
(i) Fees.
(1) Annual Franchise Fee. Each taxicab franchisee shall pav to the City an
annual fee for the privilege of operating a taxicab service in the City. Such payment shall
be in addition to any other prescribed fees including but not limited to business license and
permit fees. The franchise fee shall be due upon execution of the franchise agreement
and payable on each anniversaN date thereafter, unless otherwise specified in the
franchise agreement. Failure to pay the franchisee fee when due shall be cause for
revocation of the franchise.
(2) Annual Taxicab Vehicle Permit Fee. Each taxicab franchisee shall be
required annually to obtain a taxicab vehicle permit and to pav to the City an annual taxicab
vehicle permit fee for each taxicab operating under its franchise. Any taxicab vehicle
permit issued prior to June 30 2011 shall expire on June 30, 2011, unless revoked or
suspended prior to that date pursuant to this Chapter. Taxicab vehicle permits issued after
June 30 2011 shall expire at midnight on the June 30th next succeeding its issuance,
unless revoked or suspended prior to that date pursuant to this Chapter.
6.49.050 Taxicabs--Suspension or revocation of franchise.
(a) Suspension. The City may after due notice and an opportunity to be heard
suspend a taxicab franchisee's operations for one (1) or more days if in the judgment of
the Chief of Police a-lapse in required insurance or any other violation of the terms and
19
conditions of the franchise agreement or the provisions of this Chapter; or a violation of anv
rules, regulations, orders, or directives established by the Police Department, or the
California Vehicle Code, creates an immediate safety hazard. Cause for suspension also
exists where the holder of a ma'orit interest in the taxicab franchise or the taxicab
franchisee illegally conducts any type of vehicle for hire or public transportation operation
licensed by the Citv or anv other governmental agency.
(b) Revocation. The City may after due notice and an opportunity to be heard
revoke a franchise and terminate the franchise aareement in the event that the franchisee:
violates anv terms and conditions of the franchise aareement fails to cure any default
within the time reauired as provided in the franchise aareement violates any provision of
this Chapter or other applicable law or violates any rules regulations orders or filings of
anv regulatory body having jurisdiction over the franchisee relative to its operations under
the franchise agreement; or practices, or attempts to practice any fraud or deceit upon the
City.
The franchisee may respond in writing to a notice of intent to terminate from the City
Mahager. The matter will then be referred' to a Hearing Examiner for consideration
pursuant to this Section. The matter will be set for a hearing and the Citv shall give the
franchisee at least thirty (30) days' written notice of the time and place of the hearing. At
the hearing, the Hearing Examiner shall consider all relevant evidence and testimony and if
the Hearing Examiner determines that the franchisee is in breach of the agreement as
above described. the Hearing Examiner may. in his or her discretion, order the franchisee
to take remedial actions to cure the breach or impose any other remedy in accordance with
the franchise agreement. including but not limited to suspension for a designated period of
20
time temporary or permanent reduction of taxicab vehicle permits or revocation of the
franchise and termination of the franchise agreement. The decision or order ofthe Hearing
Examiner shall be final and binding and subject only to judicial review.
(c) Effect of Suspension or Revocation. Upon suspension or revocation of a
franchise, all the franchisee's taxicab operations in the City shall cease until such time as
the suspension or revocation is lifted.
(1) No fee refunds shall be issued to anv franchisee upon revocation of a
franchise.
(2) Upon revocation of anv taxicab franchise, no franchise to operate the same
business activity shall be granted to the franchisee within the remainder. of the term or
extension term of the franchise agreement and for a period of three (3) years thereafter.
(3) In the event of revocation of a franchise, the franchisee's taxicab vehicle
permits may in the Citv's discretion be reallocated to other franchisees on a pro rata basis
or assigned to a new taxicab franchisee following a competitive bidding process for the
award of new franchises.
6.49.060 Unauthorized taxicab services prohibited.
(a) No person shall knowingly dispatch a vehicle or respond to a request for a
"taxi", "cab", or "taxicab" for pick-up within the Citv unless the responding vehicle has a
valid taxicab vehicle permit, the driver of such vehicle has a valid taxicab driver's permit,
and the taxicab is .operated pursuant to a franchise awarded by the City.
(b) No person who drives or operates a taxicab in the City shall publish, advertise
or broadcast in anv manner written or oral a telephone number either by itself or
21
connected to a rotary or call forwarding system for taxicab service, which is the same
telephone number as that for other taxicabs or vehicles for hire.
6.49.070 Taxicab driver's permits.
(a) Application. In order to obtain a taxicab driver's permit, each person shall file
with the Police Department, upon forms supplied by the City, a completed verified
application including the following information and documentation:
(1) Name address and age of applicant;
(2) Convictions, if any, in any court of law;
(3) Name address and certification of the taxicab franchisee by whom the
applicant is to be employed as a taxicab driver in the City;
(4) Proof of a valid California Driver's License;
(5) A signed agreement to submit to a background investigation and
fingerprinting via live-scan capture by the Police Department;
(6) Original test results from a certified laboratory or testing agehcy, submitted
simultaneously with the applicant's verified application, proving that the applicant has
tested negative for drugs and alcohol as provided by Section 53075.5(b)(3) of the
California Government Code; and
(7) Such further information as the City may require.
jb) Taxicab Driver's Permit Applicantlnvestigation. The Police Department shall
investigate each applicant for a taxicab driver's permit and shall approve the application or
state its reason for disapproval. The Police Department may disapprove any applicant who
has a record of criminal conduct or other behavior involving any of the following:
(1) Moral turpitude;
22
(2) .Violence toward persons or property;
(3) Physical or mental disease which could make the applicant a danger to the
safety of others;
(4) Illegal sexual conduct involving anothernonconsenting person;
(5) Negligent or reckless driving;
(6) Operating a motor vehicle while under the influence of alcohol or drugs;
(7) Three (3) or more moving violations underthe California Vehicle Code within
the twelve (12) month period preceding the date of the application;
(8) Existing suspension or revocation of a taxicab driver's permit in any other
jurisdiction as of the date of the application;
(9) Conviction of operating a_taxicab without a valid taxicab driver's permit or
taxicab vehicle license within .the three (3) year period preceding the date of the
application; or
(10) Acts showing the applicant to be otherwise incompetent or not fit to drive a
taxicab.
(c) Examination. Every applicant for a taxicab driver's permit shall take an
examination prepared and administered by the Police Department, which tests the.
applicant's qualifications to operate a taxicab. The examination shall test the applicant's:
ability to communicate in English; knowledge of and ability to locate, with the aid of a street
atlas street addresses and intersections in Santa Monica and surrounding cities in the
County of Los Angeles and knowledge of the laws of the road.. Failure to obtain a passing
score on the examination shall be cause for disapproval of an application.-
23
(d) Taxicab Driver's Permit Issuance. Based on the application investigation and
examination, the Police Department shall approve or deny the taxicab driver's permit No
permit shall be issued if the applicant is under the age of eighteen (18) years, if any false
statement appears in the application, or if the application is otherwise incomplete. Upon
approval of an application and receipt by the City of the taxicab driver's permit fee the
Police Department shall issue a taxicab driver's permit to the applicant. The permit shall
bear the name and photograph of the applicant date of expiration of the permit and name
of the taxicab franchisee for which the driver is authorized to drive a taxicab.
(e) Taxicab Driver's Permit Expiration and Renewal. Any taxicab driver's permit
issued prior to June 30 2011 shall expire on June 30 2011 unless revoked suspended
or terminated prior to that date. Taxicab driver's permits issued after June 30.2011 shall
expire at midnight on the June 30th next succeeding its issuance .unless revoked
suspended or terminated prior to that date. A taxicab driver's permit which has not been
revoked, suspended, or terminated maybe renewed annually by paving the annual taxicab
driver's permit fee and by filing with the City a verification that the driver is in compliance
with the provisions of this Section and test results from a certified laboratory or testing
agency proving that the driver has tested negative for drugs and alcohol as provided by
Section 53075.5(b)(3) of the California Government Code.
(fl Effect of Termination of Employment. The taxicab driver's permit shall
become void upon termination of employment. at which time the taxicab franchisee-
employer shall immediately give the Citv written notice of the termination and the
terminated driver shall immediately return his or her taxicab driver's permit to the Citv.
24
(q) Prohibition on Transfers Taxicab driver's permits are personal in nature and
shall not be transferred. Any purported transfer shall be null and void.
(h) Grounds for Suspension and Revocation. A"ny taxicab driver's permit and any
taxicab vehicle permit may be suspended or revoked after due notice and an opportunity
to be heard for any of the following reasons:
(1) Arrest or citation for the commission of anv crime while driving a taxicab or
anv crime involving moral turpitude;
f2) Violation of any applicable rule or regulation, or federal state or local law
relating to the operation of taxicabs by a driver, or by an employer in the case of a taxicab
vehicle permit;
(3) Use of the taxicab driver's permit for a purpose different from that for which it
was issued;
(4) Suspension or revocation of the driver or franchisee's taxicab driver's permit
or taxicab vehicle permit in another jurisdiction; and
(5) The existence of anv facts including conviction of a crime that is substantially
related to the qualifications functions or duties of a taxicab driver, which would have been
good cause to deny such taxicab driver's permit application regardless ofwhen such facts
arose.
6:49.080 Taxicabs--Identification and vehicle operating requirements.
(a) No person shall operate anv taxicab without a distinctive and uniform color
scheme or identification which designates the taxicab franchisee underwhich said vehicle
is operated and which has been approved by the Police Department.
25
(b) No color scheme, insignia name monogram, logo, or identification shall
conflict with or imitate anv color scheme, insignia, name, monogram, logo, or identification
used by another taxicab franchisee in such a manner as to be misleading or to tend to
confuse or defraud the public.
(c) Each taxicab operated pursuant to a franchise shall be identified as a City of
Santa Monica authorized taxicab by a taxicab identification decal issued by the Police
Department. No person shall identify any vehicle by means of such taxicab identification
decal, or any facsimile thereof, unless authorized to do so by the Police Department.
(d) Every taxicab franchisee and taxicab driver shall comply with the following
operating requirements at all times:
(1) Maintain and keep an accurate and legible record of all passengers carried,
including the pickup and drop off points, the date and time carried, the starting and ending
mileage of the taxicab for each trip the charges authorized and made for each trip, and
anv other information as may be required by the Police Department. Such record shall be
retained for at least three (3) years at the business office of the taxicab franchisee and
shall be available for inspection by the Police Department at all reasonable times. Failure
to comply with anv reasonable request by the Police Department for inspection of such
record shall be cause for revocation of the franchise;
(2) Display inside the taxicab and in full view of passengers, a valid taxicab
driver's permit bearing the name and photograph of the taxicab driver and identifying the
name of the taxicab franchisee under which such taxicab is operated;
(3) Maintain in each taxicab a working two-way radio or mobile display terminal
capable of communication with a dispatcher;
26
(4) Obtain an annual vehicle inspection of each taxicab by a certified mechanic
or automotive repair dealer authorized by the Citv. Inspection records must be maintained
in the business office of the franchisee and shall be available for inspection by the Police
Department at all reasonable times; and
(5) Permit any police officer of the City enforcing this Chapter to inspect any
taxicab upon request.
(e) No person shall drive or operate a taxicab in the City into which passengers
are accepted unless the person is an owner or member of, employed bv, or is an
authorized agent of a taxicab franchisee.
(f) Taxicabs may be driven pursuant to a contract, agreement, or understanding
between the franchisee and the driver. Such contract, agreement, or understanding shall
not relieve the franchisee from full and complete compliance with the applicable provisions
of the Code, rules and regulations adopted pursuant to this Chapter, and the franchise
agreement.
6.49.090 Parking of vehicles; stands.
(a) No franchisee or driver shall permit any taxicab to stand while awaiting
employment at any place other than a stand designated by the Parking and Traffic
Engineer.
jb) No taxicab driver shall leave a vehicle unattended in a stand for a period of
time longer than three (3) minutes.
(c) Stands may be occupied at any time, except when standing, stopping or
parking at a particular stand is otherwise prohibited by law.
27
(d) Taxicab drivers may not stop in bus zones for purposes of loading or
unloading passengers unless there is no other practicable location to safely and
expediently load or unload such passengers.
6.49.100 Taxicab signs.
Taxicab franchisees and taxicab drivers shall ensure that taxicabs display the
following signage:
(a) Two cards not less than two by four inches nor more than two and one-half
by five inches in both the front seat and the rear seat in full view of passengers, which
state the following in letters and numbers which are clearly legible and in the following
format:
(1) On the first card: the name address and telephone number of the taxicab
franchisee which operates the taxicab and all rates to be charged; and
(2) On the second card: "COMPLAINTS? Call the City Of Santa Monica's
Hotline "followed by the City's hotline telephone number.
(b) Every taxicab shall have printed upon the door of such taxicab, in lettering
and numbering not less than two and one-fourth inches in height and five sixteenths of an
inch wide the cab number and the name, address and telephone number of the taxicab
franchisee which operates the taxicab. The telephone number and the cab number shall
also be printed in a plainly visible manner upon the rear of such vehicle.
(c) Everytaxicab may have an electrically lighted identification orvacantsign, or
a combination of both attached to the top of such taxicab, which shall be not more than
two and one-half inches high by nine inches in length.
(d) No taxicab shall display any sign otherthan those authorized in this Chapter.
28
6.49.110 Taximeters and rates.
(a) No taxicab shall be operated within the City. unless it is equipped with a
taximeter that is of a type and design approved by the California Department of Agriculture
and that has been inspected and certified by the Los Angeles County Agricultural
Commissioner/Weights and Measures. Every taxicab franchisee and driver using any
taximeter shall at all times keep such meter accurate and in conformity with. requirements
of the California Department of Agriculture.
(b) Taximeters are subject to inspection at any time by any police officer of the
City or any other authorized inspector. Any vehicle equipped with an inaccurate taximeter
is subiect to impound until said taximeter shall have been correctly adjusted, inspected and
certified by the Los Angeles County Agricultural Commissioner/Weights and Measures.
(c) Taximeters shall be placed so that the reading dial displaying the amount to
be charged is well lighted and readily discernible by passengers.
(d) All rates to be charged for transportation by taxicabs, including both flat and
mileage rates must be approved by resolution of City Council. The Police Department
may make recommendations to the City Council as to rates and rate adjustments.
(e) All charges shall be based on taximeters at rates established by the City, and
no person shall charge collect demand receive or arrange for any compensation for
taxicab service an amount that exceeds the charges or rates established and authorized by
the Ci
(fl Except where a flat rate is applicable it shall be unlawful for a taxicab driver
to do any of the following:
(1) Set the taximeter in operation when such vehicle is not actually hired;
29
(2) Fail to set the taximeterto anon-recording position at the termination of each
and every service or call the attention of the passenger to the amount registered;
Fail to activate the taximeter while carrying passengers or under hire; or
(4) Activate or operate the taximeter so as to denote a rate of fare different from
that authorized pursuant to this Chapter.
(fl No driver of any taxicab upon receiving payment of a fare thereon shall
refuse to give a receipt upon the request of any passenger making said payment.
6.49.120 Full use of taxicab.
When a taxicab is engaged the occupant or occupants shall have the exclusive right
to the full and free use of the passenger compartment and no owner or driver of said
taxicab shall solicit or carry additional passengers therein without soliciting and receiving
the consent of the occupant or occupants.
6.49.130 Taxicab identification decal required.
(a) Every taxicab driver and franchisee shall ensure that a taxicab identification
decal is displayed in each taxicab at all times. Such decal shall be issued and affixed by
the Police Department to a specific area on the assigned taxicab as designated by the
Police Department.
(b) No person shall operate a taxicab without a current taxicab identification
decal for that specific vehicle.
(c) No taxicab identification decal issued shall be in any manner transferred or
assigned. Any decal that is transferred assigned or otherwise conveyed or stolen shall be
automatically revoked.
30
fd) No applicant maybe issued a taxicab identification decal until that applicant
has paid all applicable fees and all of his, her or its outstanding parking citations, including
all civil penalties and related fees.
6.49.140 Penalty for violation.
(a) Except as otherwise provided in this Chapter any person violating any
provision of this Chapter shall be guilty of an infraction, which shall be punishable by a fine
not exceeding two hundred fifty dollars ($250), or a misdemeanor which shall be
punishable by a fine not exceeding one thousand dollars ($1.000) per violation or by
imprisonment in the County Jail for a period not exceedina six (6) months or by both such
fine and imprisonment. Where the violation is of a continuing nature each day that the
violation continues constitutes a separate and distinct violation.
(b) Any police officer and other persons authorized by the City to enforce this
Chapter are authorized under Sections 53075.6- and 53075.61 of the California
Government Code, Section 5411.5 of the California Public Utilities Code. Section 21100:4
of the California Vehicle Code and anv other applicable state law to impound and retain
any vehicle operating within the City as a taxicab without having a valid taxicab vehicle
permit or taxicab driver's permit issued by the Police Department,. and/or a franchise
granted by the City to operate a taxicab service, in violation of this Chapter.
jc) Every person who operates a taxicab and who knowingly and willfully issues.
publishes or affixes, or causes or permits to be issued, .published or affixed, any oral or
written advertisement, broadcast or holding out to the public or anv portion thereof, in any
manner whatsoever, that the person operates a taxicab company or an individual taxicab
31
without having a valid taxicab vehicle permit and franchise granted by the City is guilty of a
misdemeanor.
(d) Any person who, after due notice and an opportunity to be heard in
accordance with the provisions of Chapter 6.16, is found to have been operating a taxicab
service within the City without a valid taxicab vehicle permit or taxicab driver's permit may
in the City's discretion be required to pay a fine of not more than five thousand dollars
($5,000) for each violation. plus any assessments and interest as authorized by law.
(e) The remedies specified in this Section are cumulative and their specification
shall not preclude the use of any other remedy provided by law.
SECTION 3. Subdivision (d) of Section 6.04.110 of Chapter 6.04 of Article VI ofthe
Santa Monica Municipal Code is hereby amended as follows:
(d) The annual license for taxicab ewaersfranchiseesshall expire at midnight on
the September 30th next succeeding its issuance.
SECTION 4. Section 6.04.160 of Chapter 6.04 of Article VI of the Santa Monica
Municipal Code is hereby amended as follows:
A penalty of twenty percent of the license fee due, in addition to the amount of such
license fee, shall be levied on all licensees who fail to pay their yearly license renewal prior
to September 1st ("delinquent date") and on all new businesses operating in the City who
fail to secure a business license within thirty days after opening for business. In the case of
taxicab o~n~ franchisees, a penalty of twenty percent of the license fee due, in addition
to the amount of such license fee, shall be levied on all ;;~~ franchisees who fail to
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pay their yearly license renewal prior to November 1st ("delinquent date"). An additional
penalty of ten percent of the original license fee due shall be added for each month or
portion thereof that said license fee remains unpaid after the delinquent date. In no case,
however, shall the penalty exceed one hundred percent of the original license fee due.
SECTION 5. Subdivision (b) of Section 6.04.170 of Chapter 6.04 of Article VI of the
Santa Monica Municipal Code is hereby amended as follows:
The City Manager or his or her designee may waive or refund a penalty assessed
pursuant to this Section upon receiving satisfactory proof-that the licensee mailed the
business- license payment prior to September 1st of the year in which it was due and that
the failure of the payment to be postmarked prior to September 1st of the year in which it
was due or delivered was based upon operational problems caused by the United States
Postal Service. ~^ +h° ^ .,f +.,.,;^^h ., . i~^ +h° ~~+., nn.,..°,.°.... h~c . h°.
SECTION 6. Section 6.04.220 of Chapter 6.04 of Article VI of the Santa Monica
Municipal Code is hereby amended as follows:
(a) Filing of Statement. ~~^°°+..^ .,.^,,;,+°,r ~„ ^ h^°^+•,,,, /h\ h,.h....:° Ih all cases
where the amount of license to be paid by any person is based upon the amount of gross
33
receipts, or upon the number of vehicles used, such person or entity, before obtaining a
license for such business and within sixty days after the beginning of each license period,
shall file with the Director of Finance a written statement in the form required by the
Director of Finance, supported by such documentation requested by the Director of
Finance, showing the total amount of gross receipts during the preceding calendaryear, or
the number of vehicles used at the date of such statement.
/hl T....: n..M Q..c:....c~ 1 : A n on#'h. coo L:.,.. n +n.: nnh h c
nrJ ..i 4h:n #h'.+.. rJ-,..o -.f+... #h., h..n~n n~nn of +h~, #n..:..nh I:n~nn.~ .. ..rl
(sb) Contents of Statement. Any statement filed pursuant to this Section shall be
signed and shall contain the following:
I declare, under penalty of making a false declaration, that I am authorized to
make this statement and to the best of my knowledge and belief it is a true,
correct and complete statement, made in good faith for the period stated.
For making a false statement or declaration the person signing the statement
shalt be guilty of a misdemeanor.
(dc) Confidentiality as to Gross Receipts. Information filed pursuant to this
Section as to the gross receipts of a particular person or entity shall be confidential in
character and shall not be subject to public inspection. It shall be the duty of the Director of
Finance to preserve and keep such gross receipts information so that it may not become
known except to the persons charged by law with the administration of this Code.
34
(ed) Statement Not Conclusive. No statement filed pursuant to this Section
shall be conclusive upon the City or upon any officer thereof as to the matters therein set
forth, and the same shall not prejudice the right of the City to recover any amount that may
be ascertained to be due from such person in addition to the amount shown by such
statement should it be found to be incorrect.
(#e) Newly Established Business License Renewal. In any case. where an
original license is to be issued for a newly established business, the minimum tax
applicable for that type. of business shall be paid for the original license. At the date of
renewal; if such business is subject to a business license tax based upon gross receipts,
an additional fee shall be charged, based upon the gross receipts of such business during
the prioryear, at the tax rate applicable for such business, afterdeducting from the amount
so found to be due the amount paid at the time such original license was issued.
(gt) Accuracy of Statement Subject to Audit. The correctness of any
statement filed pursuant to this Section shall be subject to audit and verification by the
Director of Finance, who is hereby authorized and empowered to inspect and audit the
books and records of any and all persons licensed to carry on any business specified in
this Code. No person licensed to carryon any business specified in this Code shall refuse
or fail to allow the Director of Finance to inspect and audit such books and records or shall
refuse or fail to provide such additional information as requested by the Director of
Finance.
(#g) Failure to File Statement. If any person or entity required. to file any
statement pursuant to this Section shall fail to do so such. person shall be guilty of a
35
violation of this Code. (Prior code § 6020; added by Ord. No. 1523CCS, adopted 5/8/90;
amended by Ord. No. 2126CCS § 4, adopted 6/15/04)
SECTION 7. Section 6.08.210 of Chapter 6.08 of Article VI of the Santa Monica
Municipal Code is hereby amended as follows:
6.08.210 Taxicabs (Tax Rate Group VII).
This business classification is in Tax Rate Group VII and applies to the running,
driving, or operating of any ^"+,....,,";~° ,,...,,.+,.... ^°n°,+ „°",,.~° +,..+"° +.^.,~,,,,.+^+;,.., ,.a
~° '^~ "~~° taxicab when driven by the owner of the taxicab franchisee, or a
member emoloyee or other representative of the ewner taxicab franchisee, or by the
person or persons hiring or renting the same at rates per mile, per trip, per hour, per day,
per week, or per month; and such vehicle is routed under the direction of such passenger
or passengers, or of such persons hiring the same.
SECTION 8. Subdivision (g) of Section 6.12.010 of Chapter 6.12 of Article VI of the
Santa Monica Municipal Code is hereby amended as follows:
(g) Tax Rate Group VII. Each person or entity or franchisee in this group shall
pay the sum of two hundred and fifty dollars 250 per vehicle per year for each vehicle
which is included within the following business classification:
(1) Taxicabs.
36
SECTION 9. Section 6.14.080 of Chapter 6.14 of Article VI of the Santa Monica
Municipal Code is hereby amended as follows:
6.14.080 Taxicabs.
A police permit shall be required for any person engaged in the taxicab business
under Section 6.08.210 and Chapters 6.48 and 6.49 of this Code.
(a) Taxicab es~affy franchisee.
(b) Taxicab driver.
(cj Vehicle for hire.
SECTION 10: The City Council finds that this Ordinance is exempt from the
provisions of the California Environmental Quality Act (CEQA) pursuant to California Code
of Regulations, Title 14, Section 15308, which exempts actions taken by regulatory
agencies intended for the protection of the environment, and Section 15061 (b)(3), which
exempts local agency activities that have no potential to result in adverse impacts on the
environment. The City Council finds that the activity under this Ordinance will reduce
impacts on air quality and traffic and will not have a significant effect on the environment.
SECTION 11. Any provision of the Santa Monica Municipal Code or appendices
thereto inconsistent with the provisions of this Ordinance, to the extent of such
inconsistencies and no further, is hereby repealed or modified to that extent necessary to
effect the provisions of this Ordinance.
SECTION 12. If any section, subsection, sentence, clause, or phrase of this
Ordinance is for any reason held to be invalid or unconstitutional by a decision of any court
37
of competent jurisdiction, such decision shall not affect the validity of the remaining
portions of this Ordinance. The City Council hereby declares that it would have passed this
Ordinance and each and every section, subsection, sentence, clause, or phrase not
declared invalid or unconstitutional without regard to whether any portion of the ordinance
would be subsequently declared invalid or unconstitutional.
SECTION 13. The Mayor shall sign and the City Clerk shall attest to the passage of
this Ordinance. The City Clerk shall cause the same to be published once in the official
newspaper within 15 days after its adoption. This Ordinance shall become effective 30
days from its adoption.
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