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O2292City Council Meeting 07-14-2009 Santa Monica, California ORDINANCE NUMBER 2292 (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 ih 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 eliminate 2 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 VEHICLES FOR HIRE Sections: 6.48.010 6.48.020 8.48.030 6.48.040 6.48.050 6.48.060 6.48.070 Definitions. Non-motor vehicles. Business license required. Compulsory insurance coverage, Driving of vehicles. Direct route. 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. (a) Vehicle for Hire. "Vehicle for hire" includes taxicabs, limousines and every automobile or motor-propelled vehicle used for transportation of passengers within and without the boundaries of the City not over a defined route, of rates per mile, per trip, per hour, per day, per week or per month. Vehicles leased or rented for a period of time to be driven by the lessee or his or her designee are not included. 3 (Prior code § 6400; amended by Ord. No. 1143CCS, adopted 1/8/80; Ord. No. 1851 CCS § 24 (part), adopted 5/28/96; Ord. No. 2126CCS § 5, adopted 6/15/04) 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 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) 8.48.030 Business license required. No person shall conduct any vehicle for hire business without having first obtained a business license in compliance with this Article. (Prior code § 6402; amended by Ord. No. 1143CCS, adopted 1/8/80; Ord. No. 1851CCS § 24 (part), adopted 5/28/96) 6.48.040 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 Police Department in the amount specified in the rules and regulations adopted by the City Manager pursuant to Chapter 6.49. This policy must 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) 8.48.050 Driving of vehicles. 4 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) 6.48.080 Direct route. Any driver of a vehicle for hire employed to carry passengers to a definite point shall take the most direct route practicable that will carry the passengers safely and expeditiously to their destination unless otherwise requested by the passenger. (Prior code § 6411; amended by Ord. No. 1143CCS, adopted 1/8/80) 6.48.070 Penalty for violation. 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, 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 by both 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: 8.49.010 Definitions. 6.49.020 Rules and regulations. 8.49.030 Authority of designated employees of the Police Department to have access to summary criminal history information. 8.49.040 Taxicabs--Franchise required. 6.49.050 Taxicabs--Suspension or revocation of franchise. 8.49.080 Unauthorized taxicab services prohibited. 5 6.49.070 Taxicab driver's permits. 6.49.080 Taxicab--Identification and vehicle 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. 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 contextthat 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 employment. (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. 6 (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. 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)(11 } of the California 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 City. Upon 7 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. (b) 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 training and qualifications; financial stability; insurance; record of violations by the bidder or bidder's drivers of federal, state or local law, and rules and regulations relating to taxicab operations, particularly safety operations; extra services available to the public, including discounts for seniors and those with disabilities; and benefits available to drivers and employees. Additionally, there shall be a local preference. 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 new franchise; however, any taxicab franchisee whose franchise has been revoked shall 8 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 shall not exceed two hundred and fifty (250) taxicabs, which number may be adjusted by City Council from time to time. (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 City Council may schedule a public hearing to determine, by resolution, whether the public convenience and necessity require the operation of additional taxicabs in the City. Any such resolution shall specify the number of additional taxicabs permitted. Any determination that the public convenience and necessity require the operation of additional taxicabs in the City 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 City; and (3) The additional taxicabs, togetherwith the taxicabs then currently operating in the City, will not unduly congest, overburden, or interfere with any traffic circulation, public 9 street access, public or private parking, or stands, or otherwise create any danger or hazard to the public health, safety, or welfare. (g) No franchisee shall operate a taxicab within the City unless. the Police Department has issued and the franchisee possesses a current taxicab vehicle permit for that specific vehicle. (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 pay 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 anniversary 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 pay 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 10 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 conditions of the franchise agreement or the provisions of this Chapter; or a violation of any 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 majority interest in the taxicab franchise or the taxicab franchisee illegally conducts any type of vehicle for hire or public transportation operation licensed by the City or any other. governmental agency. (b) Revocation. The City may, after due notice and an opportunity to be heard, revoke a franchise and terminate the franchise agreement in the event that the franchisee: violates any terms and conditions of the franchise agreement; fails to cure any default within the time required as provided in the franchise agreement; violates any provision of this Chapter or other applicable law or violates any rules, regulations, orders or filings of any 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 mayrespond in writing to a notice of intent to terminate from the City Manager. 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 City shall give the 11 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 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 any franchisee upon revocation of a franchise. (2) Upon revocation of any 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 City's discretion be reallocated to otherfranchisees on apro 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. 12 (a) No person shall knowingly dispatch a vehicle or respond to a request for a "taxi", "cab", or "taxicab" for pick-up within the City 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 any manner, written or oral, a telephone number either by itself or 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. (c) No person who drives or operates a taxicab in the City shall use a name that imitates a name used by another person who drives or operates a taxicab in such a manner as to be misleading or tend to confuse or defraud the public. 6.49.070 Taxicab driver's permits. (a) Application. In orderto 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; 13 (6) Original test results from a certified laboratory or testing agency, 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. (b) Taxicab Driver's Permit Applicant Investigation. 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; (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 another nonconsenting 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 under the 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; (g) 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 14 (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. (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 Juhe 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 may be renewed annually by paying the annual taxicab 15 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. (f) 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 City written notice of the termination and the terminated driver shall immediately return his or her taxicab driver's permit to the City. (g) 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. Any 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 any crime while driving a taxicab or any crime involving moral turpitude; (2) 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 forwhich 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 16 (5) The existence of any 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 of when such facts arose. 6.49.080 Taxicabs--Identification and vehicle operating requirements. (a) No person shall operate any 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. (b) No color scheme, insignia, name, .monogram, logo, or identification shall conflict with or imitate any 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 any 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 17 shall be available for inspection by the Police Department at all reasonable times. Failure to comply with any 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; (4) Obtain an annual vehicle inspection of each taxicab by a certified mechanic or automotive repair dealer authorized by the City. 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 by, 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. 18 (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. (b) 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 lavv. (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 19 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) Every taxicab may have an electrically lighted identification orvacant sign, 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 other than those authorized in this Chapter. 6.49.110 Taximeters and rates. (a) No taxicab shall be operated within the City unless it is equipped with a taximeterthat 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 subject 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. 20 (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 City. (f) 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; (2) Fail to set the taximeter to anon-recording position atthe termination of each and every service or call the attention of the passenger to the amount. registered; (3) 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. (g) 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 21 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. (d) No applicant may be 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 exceeding 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 any other applicable state law, to impound and retain any vehicle operating within the City as a taxicab without having a valid taxicab vehicle 22 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. (c) Every person who operates a taxicab and who knowinglyand 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 any portion thereof, in any manner whatsoever, that the person operates a taxicab company or an individual taxicab 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 of the Santa Monica Municipal Code is hereby amended as follows: (d) The annual license for taxicab franchisees shall 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: 23 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 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 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 ofArticle 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. SECTION 6. Section 6.04.220 of Chapter 6.04 of Article VI of the Santa Monica Municipal Code is hereby amended as follows: 24 (a) Filing of Statement. In all cases where the amount of license to be paid by any person is based upon the amount of gross 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 calendar year, or the number of vehicles used at the date of such statement. (b) 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 shall be guilty of a misdemeanor. (c) 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. 25 (d) 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 prior year, at the tax rate applicable for such business, after deducting from the amount so found to be due the amount paid at the time such original license was issued. (f) Accuracy of Statement Subjectto 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 26 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 taxicab when driven by the owner ofthe taxicab franchisee, or a member, employee or other representative of the 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, entity orfranchisee 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. SECTION 9. Section 6.14.080 of Chapter 6.14 of Article VI of the Santa Monica Municipal Code is hereby amended as follows: 27 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 franchisee. (b) Taxicab driver. (c) 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 of competent jurisdiction, such decision shall not affect the validity. of the remaining 28 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. AS TO FORM: C IE 29 Approved and adopted this 28th day of July, 2009. ' Ken Gense ,Mayor State of California ) County of Los Angeles) ss. City of Santa Monica ) I, Maria Stewart, City Clerk of the City of Santa Monica, do hereby certify that the foregoing Ordinance No. 2292 (CCS) had its introduction on Juhe 30th, 2009, and was adopted at the Santa Monica City Council meeting held on July 28th, 2009, by the following vote: Ayes: Council members: Bloom, Davis, Holbrook Mayor Genser, Mayor Pro Tem O'Connor Noes: Council members: None Abstain: Council members: None Absent: Council members: McKeown, Shriver A summary, of Ordinance No. 2292 (CCS) was duly published pursuant to California Government Code Section 40806. ATTEST: Maria Stewart, Cit Clerk