Loading...
SR 09-27-2011 7B (3)taiiiiiiiiiii City of City Council Report Santa Monica City Council Meeting: September 27, 2011 Agenda Item: 7 To: Mayor and City Council From: Carol Swindell, Director of Finance Subject: Introduction and First Reading of Six Ordinances Modifying the Taxicab Franchise and Permit Annual Renewal Dates and Make Other Clarifications and Changes to Santa Monica Municipal Code Chapter 6.49. Recommended Action Staff recommends that City Council: 1. Introduce for first reading an ordinance amending Sections 6.49.040, 6.49.060, 6.49.070, and 6.49.080 of the Santa Monica Municipal Code, changing the franchise and permit annual expiration date from June 30th to December 31st, amending Section 6.49.060 adding a subdivision (d) to address non- franchise vehicle for hire operations that advertise or otherwise hold themselves out as providing taxicab services within the City, amending Section 6.49.080(d)(5) adding "authorized enforcement officer" to provide clarification that taxicab inspections may be performed by other officers in the City with enforcement authority and duties, and deleting certain references to administrative functions by the Police Department. (Attachment Al) 2. Introduce for first reading five ordinances amending Sections 7(a) and 8(b) in the ordinances granting a taxicab franchise to Bell Cab Company, Inc.; Independent Taxi Owners' Association; Metro Cab Company, LLC; TMAT Corp., dba Taxi! Taxi!; and L.A. Taxi Cooperative, Inc., dba Yellow Cab Company, respectively, changing the franchise and permit annual expiration date from June 30th to December 31st (Attachments A2, A3, A4, A5, A6). Executive Summary Due to a court ordered delay of the implementation of the franchise system, franchisees requested that fees be prorated to account for the shortened permit/franchise year. In response, staff recommended a prorated formula based on the initial six month permit period and permit expiration date established by the Santa Monica Municipal Code (SMMC) and the Terms & Conditions for each franchisee. The franchisees objected to the use of the proration formula using a six month period that was established by multiple ordinances, and requested that the permit fees paid be for a full 12 month period. In order to achieve a compromise, staff submitted a supplemental report as part of the June 28, 2011 City Council meeting, which was supported by all five franchisees, it recommending that the permit year be changed from a fiscal year to a calendar year, with no prorated credit for the two month delay. On June 28, 2011, Council accepted the recommendation outlined in the supplemental staff report and directed staff to retroactively establish a taxicab franchise /permit year from July 1st to June 30th, to January 1st to December 31st of each year, and changing the expiration date for taxicab vehicle and driver permits from June 30th of each year to December 31st of each year. This modification, which is supported by staff and the five franchises, requires ordinances to modify the permit/franchise year to January 1st to December 31 st, and thereby delay the collection of renewal fees by six months. The Ordinance amending Sections 6.49.040, 6.49.060, 6.49.070, and 6.49.080 of the Santa Monica Municipal Code include minor clarifications and changes to address gaps in the Code with respect to enforcement and to more accurately reflect the roles played in the administration of the program. Background On July 28, 2009, Council adopted an ordinance establishing the franchise based system for regulating taxicabs, which added Chapter 6.49 to the Santa Monica Municipal Code (SMMC). The amendments to the Code included establishing the taxicab vehicle and driver's permit years. The code established June 30, 2011 as the expiration date for permits issued prior to this date and June 30th of each year thereafter as the expiration date for permits for each subsequent year. On November 23, 2010, Council awarded the franchises by ordinance to five companies. The ordinances established the terms and conditions of the franchise for each company, which set the effective date for the franchise for January 1, 2011. The terms and conditions were subsequently agreed to by each company and require payment of the annual taxicab driver's permit fee and the annual vehicle permit fee, and further require that the permits expire each June 30th thereafter. The June 30th expiration date is consistent with Sections 6.49.040 (i)(2) and 6.49.070(e) of the SMMC. On June 28, 2011, Council provided direction to staff to implement the recommendations of the supplemental staff report which was provided as a third alternative to the original staff recommendation and two alternative recommendations proposed by the franchisees. The alternative recommended retroactively establishing a 7 taxicab franchise /permit year of January 1st to December 31st, and changing the expiration date for vehicle and driver permits to December 31st of each year. This alternative, which is supported by staff and the five franchises, required Council to direct staff to prepare necessary ordinances to modify the permit/franchise year to January 1 st to December 31st, and thereby delay the collection of renewal fees by six months. Council provided such direction. Discussion Based on the recommendations of a 2008 study by Nelson \Nygaard Consulting Associates of taxicab operations in Santa Monica, on July 28, 2009, Council adopted an ordinance establishing a franchise -based system for the regulation of taxicabs, which required the program to be self - supporting through franchise, vehicle permit and driver permit fees. In compliance with the ordinance requirements, a Request for Proposals (RFP) for citywide taxicab franchises was issued on January 14, 2010. On November 23, 2010, the Council awarded franchises by ordinance to Bell Cab Company, Inc.; Independent Taxi Owners' Association; Metro Cab Company, LLC; TMAT Corp., dba Taxi! Taxi!; and L.A. Taxi Cooperative, Inc., dba Yellow Cab Company. The program was scheduled for implementation in January 2011 giving each taxicab franchisee access to the Santa Monica taxicab market with an established number of vehicles and all five companies paid their 2011 franchise fee of $5,000. On December 23, 2010, following a lawsuit, a temporary restraining order was granted, blocking implementation of the franchise system. Although the motion for a preliminary injunction was denied at the January 19, 2011 hearing, the lawsuit caused implementation of the franchise to be delayed until March 1, 2011. Due to the delay in the program launch, the City received requests from all five franchise companies to prorate the FY10 -11 fees based on the shortened permit/franchise year including the annual franchise fee of $5;000. Franchisees argued that these fees were annual fees and the permit/franchise year for FY10 -11 had been for four months instead of a full twelve. The program originally approved by Council 3 included fees for a permit/franchise year of January 2011 to June 2011, with a permit expiration date of June 30, 2011. The original staff report submitted for the June 28, 2011 City Council Meeting Agenda Item 11 -A included a recommendation by staff to provide a pro -rated credit of two months, for all fees .paid, due to the delay of the start of the franchise until March 1, 2011. The staff report also included two alternative proposals that were based on the requests of the five taxicab franchise companies. The supplemental report for item 11 -A provided a third alternative to the staff recommendation and the two alternatives proposed by the franchisees. The third alternative was a compromise with the franchises, by retroactively establishing a taxicab franchise /permit year of January 1st to December 31st, and changing the expiration date for vehicle and driver permits to December 31st. Based on the third alternative that was presented to Council in the supplemental report, supported by staff and the five franchises, Council directed staff to return with ordinances amending the following: • SMMC Section 6.49.040(i)(2), changing the taxicab vehicle permit annual expiration date from June 30th of each year to December 31st of each year, • SMMC Sections 6.49.070(e), changing the taxicab driver's permit annual expiration date from June 30th of each year to December 31st of each year, and • Sections 7(a) and 8(b) of the ordinances granting a franchise to the five taxicab franchise companies, changing the expiration date of taxicab vehicle and driver permits from June 30th of each year to December 31st of each year. Clarifications and Corrections The Ordinance includes minor clarifications to more accurately reflect how the taxicab franchise program is administered and to strengthen enforcement measures, including the following: CI • Deletion of certain references to administrative functions by the Police Department, since the Finance Department is primarily responsible for overall administration of the taxicab franchise program. • SMMC Section 6.49.060, addition of a subdivision (d), which states "No person shall advertise or otherwise hold itself out as providing taxicab services within the City, unless such person is operating pursuant to a taxicab franchise awarded by the City," to address non - franchise vehicle for hire operations that advertise or otherwise hold themselves out as providing taxicab services within the City. • SMMC Section 6.49.080(d)(5), addition of 'other authorized enforcement officer" to provide clarification that taxicab inspections may be performed by not only police officers, but also other officers in the City with enforcement authority and duties. Financial Impacts & Budget Actions There is no significant immediate budget/financial impact associated with this recommended action. The cost of reprinting permits is approximately $5,000, which is available in account 01224.544110. Prepared by: Salvador M. Valles, Taxi Franchise Program Coordinator Approved: CS Carol Swindell Director of Finance Forwarded to Council: L-, 1 ,, )S- / C? Rod Gould City Manager Attachments: Al. Ordinance for Permit Year Change in SMMC A2. Ordinance for Permit Year Change for Bell Cab A3. Ordinance for Permit Year Change for ITOA A4. Ordinance for Permit Year Change for Metro Cab A5. Ordinance for Permit Year Change for Taxi! Taxi! A6. Ordinance for Permit Year Change for Yellow Cab 5 City Council Meeting 09 -27 -2011 Santa Monica, California ORDINANCE NUMBER _ (CCS) (City Council Series) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA AMENDING CHAPTER 6.49 OF ARTICLE VI OF THE SANTA MONICA MUNICIPAL CODE REGARDING TAXICABS WHEREAS, on July 28, 2009, the City Council adopted Ordinance No. 2292 (CCS), establishing a taxicab franchise system in order to assure reliable, safe, quality taxicab services in the City and to eliminate undue congestion and air pollution, disorganization, and hazards associated with the City's previous open -entry regulated taxicab environment; and WHEREAS, Sections 6.49.040 and 6.49.070 of the Santa Monica Municipal Code sets the annual taxicab vehicle permit and taxicab driver's permit expiration date at June 30th of each year; and WHEREAS, the implementation date for the taxicab franchise program was scheduled for January 1, 2011, but was delayed until March 1, 2011, through no fault of the taxicab franchisees; and WHEREAS, despite the implementation delay, all franchisees paid the full franchise and permit fees for the fiscal year, even though they were unable to operate Pursuant to their franchises for part of the year; and 1 WHEREAS, the City finds that for purposes of administrative efficiency and in fairness to the taxicab franchisees, since the taxicab franchisees did not cause the implementation delay and paid all franchise and permit fees for a full year, the City wishes to adjust the permit year from the fiscal year to the calendar year, and thereby extend the expiration date of vehicle and taxicab driver's permits from June 30th to December 31st; and WHEREAS, the City strives to establish a clear, fair, effective, and administratively efficient system for regulating taxicabs; THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES HEREBY ORDAIN AS FOLLOWS: SECTION 1. Section 6.49.040 of Chapter 6.49 of Article VI of the Santa Monica Municipal Code is hereby amended as follows: (a) The City may in its discretion award one or more, but no more than eight, nonexclusive franchises for the operation of taxicab services within the City. Upon issuance of one or more franchises, the City shall not accept new or renewal applications for an existing business license, decal or police permit to operate a taxicab service and 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 vehicles in the franchise fleet. Franchise proposals will be evaluated based upon criteria including, but not limited to, the following: the emissions 2 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. Each franchisee, including its members, drivers, and authorized agents, shall comply with the franchise agreement. (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 thereafter be prohibited from competing for award of a franchise for a period of three 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 three hundred taxicabs, which number may be adjusted by City Council from time to time. K (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, 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 any danger or hazard to the public health, safety, or welfare. (g) No franchisee shall operate a taxicab within the City unless the gel+ce Department City 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 Pelise DepartmeRt City 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, established by resolution of the City Council, 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, without set off or deduction, upon execution of the franchise agreement and payable on each anniversary date thereafter, unless otherwise specified in the franchise agreement. Failure to pay the full franchise 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 payto the City an annual taxicab vehicle permit fee, established by resolution of the City Council, for each taxicab operating under its franchise. Any taxicab vehicle permit issued pursuant to a franchise prior to dune 38 December 31, 2011, shall expire on dt-ne 38 December 31, 2011, unless revoked or suspended prior to that date pursuant to this Chapter. Taxicab vehicle permits issued after dune 30 December 31, 2011, shall expire at midnight on the hine.20th December 31st next succeeding its issuance, unless revoked or suspended prior to that date pursuant to this Chapter. 5 SECTION 2. Section 6.49.050 of Chapter 6.49 of Article VI of the Santa Monica Municipal Code is hereby amended as follows: (a) Suspension. The City may, after due notice and an opportunity to be heard, suspend a taxicab franchisee's operations for one or more days if, in the judgment of the r"�f of Pooh," Cam, 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; and regulations, Orders, or d eGtiVe° established by the Police Department, orders or directives established by the City, 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 may respond 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 franchisee at least thirty days' written notice of the time and place of the hearing. At the 0 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 of the 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 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 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. SECTION 3. Section 6.49.060 of Chapter 6.49 of Article VI of the Santa Monica Municipal Code is hereby amended as follows: 7 (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, or pick -up passengers within the City for taxicab services, unless the FeGPGRdiRg 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. (d) No person shall advertise or otherwise hold itself out as providing taxicab services within the City, unless such person is operating pursuant to a taxicab franchise awarded by the City. SECTION 4. Section 6.49.070 of Chapter 6.49 of Article VI of the Santa Monica Municipal Code is hereby amended as follows: (a) Application. In order to obtain a taxicab driver's permit, each person shall file with the Police ^°partmeRt Cam, 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 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; N (7) Three or more moving violations under the California Vehicle Code within the twelve 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 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 o„r..,, DepaFt ent Cam, 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 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 City shall issue a taxicab driver's permit to the applicant. The taxicab driver's permit fee shall be established by resolution of the City Council. The permit shall 10 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 pursuant to a franchise prior to lane 30 December 31, 2011, shall expire on dung 30 December 31, 2011, unless revoked, suspended or terminated prior to that date. Taxicab driver's permits issued after June 30 December 31, 2011, shall expire at midnight on the 'pane 30th December 31 st 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 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: ifi (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 fora 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 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. SECTION 5. Section 6.49.080 of Chapter 6.49 of Article VI of the Santa Monica Municipal Code is hereby amended as follows: (a) No person shall operate any taxicab without a distinctive and uniform color scheme or identification which designates the taxicab franchisee under which said vehicle is operated, and which has been approved by the Police Department Cam. (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. 12 (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 Depa rm,en � Ci�t . No person shall identify any vehicle by means of such taxicab identification decal, or any facsimile thereof, unless authorized to do so by the Paline IL7rE -- (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 o„r,.o Department Cam. Such record shall be retained for at least three years at the business office of the taxicab franchisee and shall be available for inspection by the PGIise Department City at all reasonable times. Failure to comply with any reasonable request by the Pali^° Departm °^' City 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 communication system 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 13 in the business office of the franchisee and shall be available for inspection by the Police Department City at all reasonable times; and (5) Permit any Police Officer of the City or other authorized enforcement officer 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. SECTION 6. 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 7. 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 portions of this Ordinance. The City Council hereby declares that itwould have passed this Ordinance and each and every section, subsection, sentence, clause, or phrase not 14 declared invalid or unconstitutional without regard to whether any portion of the ordinance would be subsequently declared invalid or unconstitutional. SECTION 8. 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. APPROVED AS TO FORM: :f '�fl, ,IJ di f, it 1"W1, d it,, MARS ` A JOJJES MOUTRIE City A tofney(j 15 City Council Meeting 09 -27 -2011 Santa Monica, California ORDINANCE NUMBER (CCS) (City Council Series) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA AMENDING ORDINANCE NO. 2329 (CCS) GRANTING A TAXICAB FRANCHISE TO BELL CAB COMPANY, INC. WHEREAS, on July 28, 2009, the City Council adopted Ordinance No. 2292 (CCS), establishing a taxicab franchise system authorizing a maximum of 250 taxicabs . in the City, in order to assure reliable, safe, quality taxicab services in the City and to eliminate undue congestion and air pollution, disorganization and hazards associated with the City's previous open -entry regulated taxicab environment; and WHEREAS, on October 12, 2010, Council adopted Resolution No. 10533 (CCS), declaring its intent to grant taxicab franchises to Bell Cab Company, Inc.; Independent Taxi Owners' Association (ITOA); Metro Cab Company, LLC; TMAT Corp., doing business as Taxi! Taxi!; and L.A. Taxi Cooperative, Inc., doing business as Yellow Cab Company, and setting a public hearing; and WHEREAS, on November 9, 2010, Council held a public hearing in accordance with City Charter Section 1601, at which all interested persons were given an opportunity to be heard on all matters relative to the proposed granting of taxicab franchises; and WHEREAS, on November 23, 2010, Council adopted Ordinance No. 2329 (CCS) granting a taxicab franchise to Bell Cab Company, Inc. ( "Bell Cab "); and 11 WHEREAS, the implementation date for the taxicab franchise program was scheduled for January 1, 2011, but was delayed until March 1, 2011, through no fault of the taxicab franchisees; and WHEREAS, despite the implementation delay, all franchisees paid the full franchise and permit fees for the fiscal year, even though they were unable to operate pursuant to their franchises for part of the year; and WHEREAS, the City finds that for purposes of administrative efficiency and in fairness to the taxicab franchisees, since the taxicab franchisees did not cause the implementation delay and paid all franchise and permit fees for a full year, the City wishes to adjust the permit year from the fiscal year to the calendar year, and thereby extend the expiration date of vehicle and taxicab driver's permits from June 30th to December 31st; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES HEREBY ORDAIN AS FOLLOWS: SECTION 1. Section 7 of Ordinance No. 2329 (CCS) entitled "OPERATIONS AND SERVICE - TAXICABS ", is hereby amended as follows: (a) Taxicab Vehicle Permits. Grantee is responsible for paying the annual taxicab vehicle permit fee for all taxicabs in its fleet, in accordance with the fee specified by resolution of Council, as of the effective date of this Franchise. Taxicab vehicle permits expire each j6lRe 38th December 31 st thereafter, and Grantee is responsible for paying the annual taxicab vehicle permit fees and obtaining annual taxicab vehicle permits for all taxicabs in its fleet in accordance with Santa Monica Municipal Code Section 6.49.040(i)(2). 2. (b) Taxicab Operations. All taxicabs used by Grantee within the City must be operated in accordance with, and Grantee shall not permit any taxicab to be driven which is in violation of, this Franchise, the Santa Monica Municipal Code, and Taxicab Rules. (c) Registration and Acquisition of Vehicles. All taxicabs operated under this Franchise must be registered to either Grantee or a Member of Grantee. Taxicabs must either be owned by Grantee, a Member, a commercial lending agency, or leased from a licensed leasing agency whose primary business is the sale or leasing of vehicles. Any taxicab utilized by Grantee which is owned by it or one of its Members shall have been acquired by way of bona fide purchase, lease, or other transaction approved by the City. Grantee or Member shall submit to City, upon request, the method utilized for vehicle acquisition. Members may sell ortransfer a share ortaxicab under these same provisions. (d) General Vehicle Maintenance and Repairs. Grantee shall, at its sole expense, monitor and be responsible for all maintenance, repair, and replacement of Grantee's and any driver /manager Member's managed taxicabs. Preventive maintenance must be performed at least in accordance with manufacture recommendations for each taxicab. A copy of maintenance inspection reports, including any repair documentation, shall be filed with City. (e) Age of Vehicles. No taxicab fleet vehicle authorized bythis Franchise shall be in excess of the years of age set forth in the Taxicab Rules unless otherwise authorized in writing by City in its sole and absolute discretion. (f) Off - Street Parking Facilities. Grantee shall provide garaging or other off - street parking facilities within one -half mile of its main operating location(s), or as specified by the City, where Grantee's taxicabs are to be parked when not in service or when not being K repaired or when not in the possession of a taxicab driver. Grantee shall have sufficient vehicle parking capacity within the main operating location(s) or the garaging or off - street parking facilities to meet the requirements for Grantee's operations, including but not limited to vehicle inspection and maintenance, administrative functions, and training. SECTION 2. Section 8 of Ordinance No. 2329 (CCS) entitled "OPERATIONS AND SERVICE - DRIVERS ", is hereby amended as follows: (a) Authorized Drivers. Grantee shall not issue or dispatch any taxicab operated on behalf of this Franchise to any driver who is in violation of any terms of this Franchise, the Santa Monica Municipal Code, Taxicab Rules, or any other applicable law, rule or regulation. (b) Taxicab Driver's Permits. Grantee is responsible for paying the annual taxicab driver's permit fee for all its taxicab drivers, in accordance with the fee specified by resolution of Council, as of the effective date of this Franchise. Taxicab driver's permits expire each dune -30th December 31 st thereafter and Grantee is responsible for paying the annual taxicab driver's permit fees and obtaining annual taxicab driver's permits for all its taxicab drivers in accordance with Santa Monica Municipal Code Section 6.49.070(e). (c) Work Shifts. Drivers must check in with Grantee at the beginning and end of each shift, and such activity shall be recorded by Grantee. Grantee must maintain daily logs to indicate the vehicle and driver assignments for each shift at all times. Grantee or a driver /manager Member shall make all such assignments. Grantee shall issue and collect waybills in the manner and within the time limits established by the Taxicab Rules. V Grantee shall review waybills upon collection to ascertain that the required information is fully and accurately provided. (d) Independent Contractor Drivers. Grantee and its driver /manager Members are authorized to provide taxicab services through a contracting or leasing type of operation with an independent contractor driver. No independent contractor driver may subcontract or sublease the vehicle, or the right to operate the vehicle, to another person. All contracting or leasing arrangements shall be evidenced in writing and subject to City approval. Such lease contract shall provide for the collection and documentation of lease fees by Grantee and driver /manager Members. The lease contract shall not be instituted or changed without City approval. The independent contractor driver shall not use a taxicab as the driver's personal vehicle within the City except when driving to or from the beginning or ending of a work shift. Grantee shall maintain current files of all lease contracts in a central location, filed by driver, to verify compliance with these requirements. (e) Training Program. Grantee shall provide a comprehensive screening, testing and training program for all its drivers, including independent contractor drivers. The training program, including curriculum and delivery, must be approved by City and must include City and state rules and regulations; geography, including map reading, major points of interest in the City, and familiarity with the City and surrounding areas; driver safety and defensive driving; vehicle safety and maintenance /inspection checks; customer service and relations; sensitivity guidelines for disabled, frail and elderly passengers; behind the wheel driver training; and accessible vehicle operation training and CPR certification or equivalent for accessible vehicle drivers. City may authorize or require additional training program components, a change in delivery of program components, or a 5 training facilitator or program outside of Grantee's program at Grantee's or driver's cost if City deems such change will best serve the public interest. (f) Drug and Alcohol Testing. Grantee is responsible for scheduling pre- employment and pre - permitting driver drug and alcohol testing and for enrolling all current drivers in a mandatory controlled substance and alcohol testing certification program as mandated by California Government Code Section 53075.5, and which follows program components and testing requirements of the Federal Code of Regulations, Title 49, Part 40 and Part 382, as amended. Testing shall be conducted as a condition for initial driver permit authorization. Annual testing shall be conducted as a condition for permit renewal. Random testing may be conducted and additional tests may be required, including post accident testing, rehabilitation and return -to- service testing, and reasonable suspicion testing. Drivers must show a valid California driver's license at the time and place of testing. Grantee shall contractwith a consultant (program administrator) and authorized lab approved under the Federal Register to facilitate the program and shall provide a copy of the contracts to City. Test results shall be provided to Grantee as the employing entity. Information shall be supplied to City pertaining to any positive test results and shall include driver name, identifying information, and driver permit status, including any entry into a rehabilitation program. Specific driver test results shall remain confidential, on file by driver with Grantee, but testing information, including date of annual test and random test, and positive or negative results, shall be available for City's review. Cost of testing shall be the driver's responsibility, if the driver is an independent contractor of Grantee, or Grantee's responsibility, if the driver is an employee. It In accordance with the Federal Code of Regulations, Grantee's certification program must include information regarding the controlled substance and alcohol use policy and procedures as well as educational materials made available to all drivers and other pertinent staff. Grantee or its authorized agency must advise drivers of the resources available to them to resolve problems associated with misuse of alcohol and controlled substances. Materials for education and company policies must be made available to all current and potential drivers and a signed statement of their receipt shall be in every permitted driver's file and retained by Grantee. Grantee shall train supervisory personnel in accordance with federal guidelines in order to determine whether reasonable suspicion exists to require a driver to undergo additional testing. Grantee shall use custody and control forms similar to that used under the federal testing guidelines. Any changes in the federal program guidelines or other state mandates will be considered by City for modification to Grantee's program. (g) Social Benefits Programs. Grantee shall comply with all applicable local, state and federal rules, regulations and statutes concerning mandated social benefits programs for employees. It shall be the sole responsibility of Grantee to determine whether legislation concerning these social benefits applies to Grantee's operations. SECTION 3. Except as expressly modified by this Ordinance, all other terms and conditions of the taxicab franchise granted to Bell Cab pursuant to Ordinance No. 2329 (CCS) shall be and remain in full force and effect. 7 SECTION 4. 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 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 5. 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. APPROVED AS TO FORM: /` ; �7 M b A J NEB MOU E City ttorney 0 City Council Meeting 09 -27 -2011 Santa Monica, California ORDINANCE NUMBER (CCS) (City Council Series) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA AMENDING ORDINANCE NO. 2330 (CCS) GRANTING A TAXICAB FRANCHISE TO INDEPENDENT TAXI OWNERS' ASSOCIATION WHEREAS, on July 28, 2009, the City Council adopted Ordinance No. 2292 (CCS), establishing a taxicab franchise system authorizing a maximum of 250 taxicabs in the City, in order to assure reliable, safe, quality taxicab services in the City and to eliminate undue congestion and air pollution, disorganization, and hazards associated with the City's previous open -entry regulated taxicab environment; and WHEREAS, on October 12, 2010, Council adopted Resolution No. 10533 (CCS), declaring its intent to grant taxicab franchises to Bell Cab Company, Inc.; Independent Taxi Owners' Association (ITOA); Metro Cab Company, LLC; TMAT Corp., doing business as Taxi! Taxi!; and L.A. Taxi Cooperative, Inc., doing business as Yellow Cab Company, and setting a public hearing; and WHEREAS, on November 9, 2010, Council held a public hearing in accordance with City Charter Section 1601, at which all interested persons were given an opportunity to be heard on all matters relative to the proposed granting of taxicab franchises; and WHEREAS, on November 23, 2010, Council adopted Ordinance No. 2330 (CCS) granting a taxicab franchise to Independent Taxi Owners' Association; and 1 WHEREAS, the implementation date for the taxicab franchise program was scheduled for January 1, 2011, but was delayed until March 1, 2011, through no fault of the taxicab franchisees; and WHEREAS, despite the implementation delay, all franchisees paid the full franchise and permit fees for the fiscal year, even though they were unable to operate pursuant to their franchises for part of the year; and WHEREAS, the City finds that for purposes of administrative efficiency and in fairness to the taxicab franchisees, since the taxicab franchisees did not cause the implementation delay and paid all franchise and permit fees for a full year, the City wishes to adjust the permit year from the fiscal year to the calendar year, and thereby extend the expiration date of vehicle and taxicab driver's permits from June 30th to December 31st; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES HEREBY ORDAIN AS FOLLOWS: SECTION 1. Section 7 of Ordinance No. 2330 (CCS) entitled "OPERATIONS AND SERVICE - TAXICABS ", is hereby amended as follows: (a) Taxicab Vehicle Permits. Grantee is responsible for paying the annual taxicab vehicle permit fee for all taxicabs in its fleet, in accordance with the fee specified by resolution of Council, as of the effective date of this Franchise. Taxicab vehicle permits expire each dame 38th December 31 st thereafter, and Grantee is responsible for paying the annual taxicab vehicle permit fees and obtaining annual taxicab vehicle permits for all taxicabs in its fleet in accordance with Santa Monica Municipal Code Section 6.49.040(i)(2). 2 (b) Taxicab Operations. All taxicabs used by Grantee within the City must be operated in accordance with, and Grantee shall not permit any taxicab to be driven which is in violation of, this Franchise, the Santa Monica Municipal Code, and Taxicab Rules. (c) Registration and Acquisition of Vehicles. All taxicabs operated under this Franchise must be registered to either Grantee or a Member of Grantee. Taxicabs must either be owned by Grantee, a Member, a commercial lending agency, or leased from a licensed leasing agency whose primary business is the sale or leasing of vehicles. Any taxicab utilized by Grantee which is owned by it or one of its Members shall have been acquired by way of bona fide purchase, lease, or other transaction approved by the City. Grantee or Member shall submit to City, upon request, the method utilized for vehicle acquisition. Members may sell or transfer a share or taxicab under these same provisions. (d) General Vehicle Maintenance and Repairs. Grantee shall, at its sole expense, monitor and be responsible for all maintenance, repair, and replacement of Grantee's and any driver /manager Member's managed taxicabs. Preventive maintenance must be performed at least in accordance with manufacture recommendations for each taxicab. A copy of maintenance inspection reports, including any repair documentation, shall be filed with City. (e) Age of Vehicles. No taxicab fleet vehicle authorized by this Franchise shall be in excess of the years of age set forth in the Taxicab Rules unless otherwise authorized in writing by City in its sole and absolute discretion. (f) Off - Street Parking Facilities. Grantee shall provide garaging or other off - street parking facilities within one -half mile of its main operating location(s), or as specified by the City, where Grantee's taxicabs are to be parked when not in service or when not being 3 repaired or when not in the possession of a taxicab driver. Grantee shall have sufficient . vehicle parking capacity within the main operating location(s) or the garaging or off - street parking facilities to meet the requirements for Grantee's operations, including but not limited to vehicle inspection and maintenance, administrative functions, and training. SECTION 2. Section 8 of Ordinance No. 2330 (CCS) entitled "OPERATIONS AND SERVICE - DRIVERS ", is hereby amended as follows: (a) Authorized Drivers. Grantee shall not issue or dispatch any taxicab operated on behalf of this Franchise to any driver who is in violation of any terms of this Franchise, the Santa Monica Municipal Code, Taxicab Rules, or any other applicable law, rule or regulation. (b) Taxicab Driver's Permits. Grantee is responsible for paying the annual taxicab driver's permit fee for all its taxicab drivers, in accordance with the fee specified by resolution of Council, as of the effective date of this Franchise. Taxicab driver's permits expire each dune 38th December 31 st thereafter and Grantee is responsible for paying the annual taxicab driver's permit fees and obtaining annual taxicab driver's permits for all its taxicab drivers in accordance with Santa Monica Municipal Code Section 6.49.070(e). (c) Work Shifts. Drivers must check in with Grantee at the beginning and end of each shift, and such activity shall be recorded by Grantee. Grantee must maintain daily logs to indicate the vehicle and driver assignments for each shift at all times. Grantee or a driver /manager Member shall make all such assignments. Grantee shall issue and collect waybills in the manner and within the time limits established by the Taxicab Rules. 0 Grantee shall review waybills upon collection to ascertain that the required information is fully and accurately provided. (d) Independent Contractor Drivers. Grantee and its driver /manager Members are authorized to provide taxicab services through a contracting or leasing type of operation with an independent contractor driver. No independent contractor driver may subcontract or sublease the vehicle, or the right to operate the vehicle, to another person. All contracting or leasing arrangements shall be evidenced in writing and subject to City approval. Such lease contract shall provide for the collection and documentation of lease fees by Grantee and driver /manager Members. The lease contract shall not be instituted or changed without City approval. The independent contractor driver shall not use a taxicab as the driver's personal vehicle within the City except when driving to or from the beginning or ending of a work shift. Grantee shall maintain current files of all lease contracts in a central location, filed by driver, to verify compliance with these requirements. (e) Training Program. Grantee shall provide a comprehensive screening, testing and training program for all its drivers, including independent contractor drivers. The training program, including curriculum and delivery, must be approved by City and must include City and state rules and regulations; geography, including map reading, major points of interest in the City, and familiarity with the City and surrounding areas; driver safety and defensive driving; vehicle safety and maintenance /inspection checks; customer service and relations; sensitivity guidelines for disabled, frail and elderly passengers; behind the wheel driver training; and accessible vehicle operation training and CPR certification or equivalent for accessible vehicle drivers. City may authorize or require additional training program components, a change in delivery of program components, or a 5 training facilitator or program outside of Grantee's program at Grantee's or driver's cost if City deems such change will best serve the public interest. (f) Drug and Alcohol Testing. Grantee is responsible for scheduling pre- employment and pre - permitting driver drug and alcohol testing and for enrolling all current drivers in a mandatory controlled substance and alcohol testing certification program as mandated by California Government Code Section 53075.5, and which follows program components and testing requirements of the Federal Code of Regulations, Title 49, Part 40 and Part 382, as amended. Testing shall be conducted as a condition for initial driver permit authorization. Annual testing shall be conducted as a condition for permit renewal. Random testing may be conducted and additional tests may be required, including post accident testing, rehabilitation and return -to- service testing, and reasonable suspicion testing. Drivers must show a valid California driver's license at the time and place of testing. Grantee shall contract with a consultant (program administrator) and authorized lab approved under the Federal Register to facilitate the program and shall provide a copy of the contracts to City. Test results shall be provided to Grantee as the employing entity. Information shall be supplied to City, pertaining to any positive test results and shall include driver name, identifying information, and driver permit status, including any entry into a rehabilitation program. Specific driver test results shall remain confidential, on file by driver with Grantee, but testing information, including date of annual test and random test, and positive or negative results, shall be available for City's review. Cost of testing shall be the driver's responsibility, if the driver is an independent contractor of Grantee, or Grantee's responsibility, if the driver is an employee. 0 In accordance with the Federal Code of Regulations, Grantee's certification program must include information regarding the controlled substance and alcohol use policy and procedures as well as educational materials made available to all drivers and other pertinent staff. Grantee or its authorized agency must advise drivers of the resources available to them to resolve problems associated with misuse of alcohol and controlled substances. Materials for education and company policies must be made available to all current and potential drivers and a signed statement of their receipt shall be in every permitted driver's file and retained by Grantee. Grantee shall train supervisory personnel in accordance with federal guidelines in order to determine whether reasonable suspicion exists to require a driver to undergo additional testing. Grantee shall use custody and control forms similar to that used under the federal testing guidelines. Any changes in the federal program guidelines or other state mandates will be considered by City for modification to Grantee's program. (g) Social Benefits Programs. Grantee shall comply with all applicable local, state and federal rules, regulations and statutes concerning mandated social benefits programs for employees. It shall be the sole responsibility of Grantee to determine whether legislation concerning these social benefits applies to Grantee's operations. SECTION 3. Except as expressly modified by this Ordinance, all other terms and conditions of the taxicab franchise granted to Independent Taxi Owners' Association pursuant to Ordinance No. 2330 (CCS) shall be and remain in full force and effect. rA SECTION 4. 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 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 5. 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. APPROVED AS TO FORM: MARSHA JONE CMOUTRIE City P� orney F City Council Meeting 09 -27 -2011 Santa Monica, California ORDINANCE NUMBER (CCS) (City Council Series) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA AMENDING ORDINANCE NO. 2331 (CCS) GRANTING A TAXICAB FRANCHISE TO METRO CAB COMPANY, LLC WHEREAS, on July 28, 2009, the City Council adopted Ordinance No. 2292 (CCS), establishing a taxicab franchise system authorizing a maximum of 250 taxicabs in the City, in order to assure reliable, safe, quality taxicab services in the City and to eliminate undue congestion and air pollution, disorganization and hazards associated with the City's previous open -entry regulated taxicab environment; and WHEREAS, on October 12, 2010, Council adopted Resolution No. 10533 (CCS), declaring its intent to grant taxicab franchises to Bell Cab Company, Inc.; Independent Taxi Owners' Association (ITOA); Metro Cab Company, LLC; TMAT Corp., doing business as Taxi! Taxi!; and L.A. Taxi Cooperative, Inc., doing business as Yellow Cab Company, and setting a public hearing; and WHEREAS, on November 9, 2010, Council held a public hearing in accordance with City Charter Section 1601, at which all interested persons were given an opportunity to be heard on all matters relative to the proposed granting of taxicab franchises; and WHEREAS, on November 23, 2010, Council adopted Ordinance No. 2331 (CCS) granting a taxicab franchise to Metro Cab Company, LLC ( "Metro Cab "); and 1 WHEREAS, the implementation date for the taxicab franchise program was scheduled for January 1, 2011, but was delayed until March 1, 2011, through no fault of the taxicab franchisees; and WHEREAS, despite the implementation delay, all franchisees paid the full franchise and permit fees for the fiscal year, even though they were unable to operate pursuant to their franchises for part of the year; and WHEREAS, the City finds that for purposes of administrative efficiency and in fairness to the taxicab franchisees, since the taxicab franchisees did not cause the implementation delay and paid all franchise and permit fees for a full year, the City wishes to adjust the permit year from the fiscal year to the calendar year, and thereby extend the expiration date of vehicle and taxicab driver's permits from June 30th to December 31st; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES HEREBY ORDAIN AS FOLLOWS: SECTION 1. Section 7 of Ordinance No. 2331 (CCS) entitled "OPERATIONS AND SERVICE - TAXICABS ", is hereby amended as follows: (a) Taxicab Vehicle Permits. Grantee is responsible for paying the annual taxicab vehicle permit fee for all taxicabs in its fleet, in accordance with the fee specified by resolution of Council, as of the effective date of this Franchise. Taxicab vehicle permits expire each December 31 st thereafter, and Grantee is responsible for paying the annual taxicab vehicle permit fees and obtaining annual taxicab vehicle permits for all 2 taxicabs in its fleet in accordance with Santa Monica Municipal Code Section 6.49.040(i)(2). (b) Taxicab Operations. All taxicabs used by Grantee within the City must be operated in accordance with, and Grantee shall not permit any taxicab to be driven which is in violation of, this Franchise, the Santa Monica Municipal Code, and Taxicab Rules. (c) Registration and Acquisition of Vehicles. All taxicabs operated under this Franchise must be registered to either Grantee or a Member of Grantee. Taxicabs must either be owned by Grantee, a Member, a commercial lending agency, or leased from a licensed leasing agency whose primary business is the sale or leasing of vehicles. Any taxicab utilized by Grantee which is owned by it or one of its Members shall have been acquired by way of bona fide purchase, lease, or other transaction approved by the City. Grantee or Member shall submit to City, upon request, the method utilized for vehicle acquisition. Members may sell or transfer a share or taxicab underthese same provisions. (d) General Vehicle Maintenance and Repairs. Grantee shall, at its sole expense, monitor and be responsible for all maintenance, repair, and replacement of Grantee's and any driver /manager Member's managed taxicabs. Preventive maintenance must be performed at least in accordance with manufacture recommendations for each taxicab. A copy of maintenance inspection reports, including any repair documentation, shall be filed with City. (e) Age of Vehicles. No taxicab fleet vehicle authorized by this Franchise shall be in excess of the years of age set forth in the Taxicab Rules unless otherwise authorized in writing by City in its sole and absolute discretion. 3 (f) Off - Street Parking Facilities. Grantee shall provide garaging or other off - street parking facilities within one -half mile of its main operating location(s), or as specified by the City, where Grantee's taxicabs are to be parked when not in service or when not being repaired or when not in the possession of a taxicab driver. Grantee shall have sufficient vehicle parking capacity within the main operating location(s) or the garaging or off - street parking facilities to meet the requirements for Grantee's operations, including but not limited to vehicle inspection and maintenance, administrative functions, and training. SECTION 2. Section 8 of Ordinance No. 2331 (CCS) entitled "OPERATIONS AND SERVICE - DRIVERS ", is hereby amended as follows: (a) Authorized Drivers. Grantee shall not issue or dispatch any taxicab operated on behalf of this Franchise to any driver who is in violation of any terms of this Franchise, the Santa Monica Municipal Code, Taxicab Rules, or any other applicable law, rule or regulation. (b) Taxicab Driver's Permits. Grantee is responsible for paying the annual taxicab driver's permit fee for all its taxicab drivers, in accordance with the fee specified by resolution of Council, as of the effective date of this Franchise. Taxicab driver's permits expire each june -30th December 31 st thereafter and Grantee is responsible for paying the annual taxicab driver's permit fees and obtaining annual taxicab driver's permits for all its taxicab drivers in accordance with Santa Monica Municipal Code Section 6.49.070(e). (c) Work Shifts. Drivers must check in with Grantee at the beginning and end of each shift, and such activity shall be recorded by Grantee. Grantee must maintain daily logs to indicate the vehicle and driver assignments for each shift at all times. Grantee or a G! driver /manager Member shall make all such assignments. Grantee shall issue and collect waybills in the manner and within the time limits established by the Taxicab Rules. Grantee shall review waybills upon collection to ascertain that the required information is fully and accurately provided. (d) Independent Contractor Drivers. Grantee and its driver /manager Members are authorized to provide taxicab services through a contracting or leasing type of operation with an independent contractor driver. No independent contractor driver may subcontract or sublease the vehicle, or the right to operate the vehicle, to another person. All contracting or leasing arrangements shall be evidenced in writing and subject to City approval. Such lease contract shall provide for the collection and documentation of lease fees by Grantee and driver /manager Members. The lease contract shall not be instituted or changed without City approval. The independent contractor driver shall not use a taxicab as the driver's personal vehicle within the City except when driving to or from the beginning or ending of a work shift. Grantee shall maintain current files of all lease contracts in a central location, filed by driver, to verify compliance with these requirements. (e) Training Program. Grantee shall provide a comprehensive screening, testing and training program for all its drivers, including independent contractor drivers. The training program, including curriculum and delivery, must be approved by City and must include City and state rules and regulations; geography, including.map reading, major points of interest in the City, and familiarity with the City and surrounding areas; driver safety and defensive driving; vehicle safety and maintenance /inspection checks; customer service and relations; sensitivity guidelines for disabled, frail and elderly passengers; behind the wheel driver training; and accessible vehicle operation training and CPR ! 6, certification or equivalent for accessible vehicle drivers. City may authorize or require additional training program components, a change in delivery of program components, or a training facilitator or program outside of Grantee's program at Grantee's or driver's cost if City deems such change will best serve the public interest. (f) Drug and Alcohol Testing. Grantee is responsible for scheduling pre- employment and pre - permitting driver drug and alcohol testing and for enrolling all current drivers in a mandatory controlled substance and alcohol testing certification program as mandated by California Government Code Section 53075.5, and which follows program components and testing requirements of the Federal Code of Regulations, Title 49, Part 40 and Part 382, as amended. Testing shall be conducted as a condition for initial driver permit authorization. Annual testing shall be conducted as a condition for permit renewal. Random testing may be conducted and additional tests may be required, including post accident testing, rehabilitation and return -to- service testing, and reasonable suspicion testing. Drivers must show a valid California driver's license at the time and place of testing. Grantee shall contract with a consultant (program administrator) and authorized lab approved under the Federal Register to facilitate the program and shall provide a copy of the contracts to City. Test results shall be provided to Grantee as the employing entity. Information shall be supplied to City pertaining to any positive test results and shall include driver name, identifying information, and driver permit status, including any entry into a rehabilitation program. Specific driver test results shall remain confidential, on file by driver with Grantee, but testing information, including date of annual test and random test, and positive or negative results, shall be available for City's review. Cost of testing shall be the C^ driver's responsibility, if the driver is an independent contractor of Grantee, or Grantee's responsibility, if the driver is an employee. In accordance with the Federal Code of Regulations, Grantee's certification program must include information regarding the controlled substance and alcohol use policy and procedures as well as educational materials made available to all drivers and other pertinent staff. Grantee or its authorized agency must advise drivers of the resources available to them to resolve problems associated with misuse of alcohol and controlled substances. Materials for education and company policies must be made available to all current and potential drivers and a signed statement of their receipt shall be in every permitted driver's file and retained by Grantee. Grantee shall train supervisory personnel in accordance with federal guidelines in order to determine whether reasonable suspicion exists to require a driver to undergo additional testing. Grantee shall use custody and control forms similar to that used under the federal testing guidelines. Any changes in the federal program guidelines or other state mandates will be considered by City for modification to Grantee's program. (g) Social Benefits Programs. Grantee shall comply with all applicable local, state and federal rules, regulations and statutes concerning mandated social benefits programs for employees. It shall be the sole responsibility of Grantee to determine whether legislation concerning these social benefits applies to Grantee's operations. SECTION 3. Except as expressly modified by this Ordinance, all other terms and conditions of the taxicab franchise granted to Metro Cab pursuant to Ordinance No. 2331 (CCS) shall be and remain in full force and effect. 7 SECTION 4. 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 portions of this Ordinance. The City Council hereby declares that itwould 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 5. 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. APPROVED AS TO FORM: 11 City Council Meeting 09 -27 -2011 Santa Monica, California ORDINANCE NUMBER (CCS) (City Council Series) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA AMENDING ORDINANCE NO. 2332 (CCS) GRANTING A TAXICAB FRANCHISE TO TMAT CORP., DOING BUSINESS AS TAXI! TAXI! WHEREAS, on July 28, 2009, the City Council adopted Ordinance No. 2292 (CCS), establishing a taxicab franchise system authorizing a maximum of 250 taxicabs in the City, in order to assure reliable, safe, quality taxicab services in the City and to eliminate undue congestion and air pollution, disorganization and hazards associated with the City's previous open -entry regulated taxicab environment; and WHEREAS, on October 12, 2010, Council adopted Resolution No. 10533 (CCS), declaring its intent to grant taxicab franchises to Bell Cab Company, Inc.; Independent Taxi Owners' Association (ITOA); Metro Cab Company, LLC; TMAT Corp., doing business as Taxi! Taxi!; and L.A. Taxi Cooperative, Inc., doing business.as Yellow Cab Company, and setting a public hearing; and WHEREAS, on November 9, 2010, Council held a public hearing in accordance with City Charter Section 1601, at which all interested persons were given an opportunity to be heard on all matters relative to the proposed granting of taxicab franchises; and E WHEREAS, on November 23, 2010, Council adopted Ordinance No. 2332 (CCS) granting a taxicab franchise to TMAT Corp., doing business as Taxi! Taxi! ( "Taxi! Taxi! "); "Mro WHEREAS, the implementation date for the taxicab franchise program was scheduled for January 1, 2011, but was delayed until March 1, 2011, through no fault of the taxicab franchisees; and WHEREAS, despite the implementation delay, all franchisees paid the full franchise and permit fees for the fiscal year, even though they were unable to operate pursuant to their franchises for part of the year; and WHEREAS, the City finds that for purposes of administrative efficiency and in fairness to the taxicab franchisees, since the taxicab franchisees did not cause the implementation delay and paid all franchise and permit fees for a full year, the City wishes to adjust the permit year from the fiscal year to the calendar year, and thereby extend the expiration date of vehicle and taxicab driver's permits from June 30th to December 31st; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES HEREBY ORDAIN AS FOLLOWS: SECTION 1. Section 7 of Ordinance No. 2332 (CCS) entitled "OPERATIONS AND SERVICE - TAXICABS", is hereby amended as follows: (a) Taxicab Vehicle Permits. Grantee is responsible for paying the annual taxicab vehicle permit fee for all taxicabs in its fleet, in accordance with the fee specified by resolution of Council, as of the effective date of this Franchise. Taxicab vehicle permits expire each i6lRe -30th December 31 st thereafter, and Grantee is responsible for paying the 2 annual taxicab vehicle permit fees and obtaining annual taxicab vehicle permits for all taxicabs in its fleet in accordance with Santa Monica Municipal Code Section 6.49.040(i)(2). (b) Taxicab Operations. All taxicabs used by Grantee within the City must be operated in accordance with, and Grantee shall not permit any taxicab to be driven which is in violation of, this Franchise, the Santa Monica Municipal Code, and Taxicab Rules. (c) Registration and Acquisition of Vehicles. All taxicabs operated under this Franchise must be registered to either Grantee or a Member of Grantee. Taxicabs must either be owned by Grantee, a Member, a commercial lending agency, or leased from a licensed leasing agency whose primary business is the sale or leasing of vehicles. Any taxicab utilized by Grantee which is owned by it or one of its Members shall have been acquired by way of bona fide purchase, lease, or other transaction approved by the City. Grantee or Member shall submit to City, upon request, the method utilized for vehicle acquisition. Members may sell or transfer a share or taxicab under these same provisions. (d) General Vehicle Maintenance and Repairs. Grantee shall, at its sole expense, monitor and be responsible for all maintenance, repair, and replacement of Grantee's and any driver /manager Member's managed taxicabs. Preventive maintenance must be performed at least in accordance with manufacture recommendations for each taxicab. A copy of maintenance inspection reports, including any repair documentation, shall be filed with City. (e) Age of Vehicles. No taxicab fleet vehicle authorized by this Franchise shall be in excess of the years of age set forth in the Taxicab Rules unless otherwise authorized in writing by City in its sole and absolute discretion. 3 (f) Off - Street Parking Facilities. Grantee shall provide garaging or other off - street parking facilities within one -half mile of its main operating location(s), or as specified by the City, where Grantee's taxicabs are to be parked when not in service or when not being repaired or when not in the possession of a taxicab driver. Grantee shall have sufficient vehicle parking capacity within the main operating location(s) or the garaging or off - street parking facilities to meet the requirements for Grantee's operations, including but not limited to vehicle inspection and maintenance, administrative functions, and training. SECTION 2. Section 8 of Ordinance No. 2332 (CCS) entitled "OPERATIONS AND SERVICE - DRIVERS ", is hereby amended as follows: (a) Authorized Drivers. Grantee shall not issue or dispatch any taxicab operated on behalf of this Franchise to any driver who is in violation of any terms of this Franchise, the Santa Monica Municipal Code, Taxicab Rules, or any other applicable law, rule or regulation. (b) Taxicab Driver's Permits. Grantee is responsible for paying the annual taxicab driver's permit fee for all its taxicab drivers, in accordance with the fee specified by resolution of Council, as of the effective date of this Franchise. Taxicab driver's permits expire each dune 30th December 31 st thereafter and Grantee is responsible for paying the annual taxicab driver's permit fees and obtaining annual taxicab driver's permits for all its taxicab drivers in accordance with Santa Monica Municipal Code Section 6.49.070(e). (c) Work Shifts. Drivers must check in with Grantee at the beginning and end of each shift, and such activity shall be recorded by Grantee. Grantee must maintain daily logs to indicate the vehicle and driver assignments for each shift at all times. Grantee or a N driver /manager Member shall make all such assignments. Grantee shall issue and collect waybills in the manner and within the time limits established by the Taxicab Rules. Grantee shall review waybills upon collection to ascertain that the required information is fully and accurately provided. (d) Independent Contractor Drivers. Grantee and its driver /manager Members are authorized to provide taxicab services through a contracting or leasing type of operation with an independent contractor driver. No independent contractor driver may subcontract or sublease the vehicle, or the right to operate the vehicle, to another person. All contracting or leasing arrangements shall be evidenced in writing and subject to City approval. Such lease contract shall provide for the collection and documentation of lease fees by Grantee and driver /manager Members. The lease contract shall not be instituted or changed without City approval. The independent contractor driver shall not use a taxicab as the driver's personal vehicle within the City except when driving to orfrom the beginning or ending of a work shift. Grantee shall maintain current files of all lease contracts in a central location, filed by driver, to verify compliance with these requirements. (e) Traininq Program. Grantee shall provide a comprehensive screening, testing and training program for all its drivers, including independent contractor drivers. The training program, including curriculum and delivery; must be approved by City and must include City and state rules and regulations; geography, including map reading, major points of interest in the City, and familiarity with the City and surrounding areas; driver safety and defensive driving; vehicle safety and maintenance /inspection checks; customer service and relations; sensitivity guidelines for disabled, frail and elderly passengers; behind the wheel driver training; and accessible vehicle operation training and CPR certification or equivalent for accessible vehicle drivers. City may authorize or require additional training program components, a change in delivery of program components, or a training facilitator or program outside of Grantee's program at Grantee's or driver's cost if City deems such change will best serve the public interest. (f) Drug and Alcohol Testing. Grantee is responsible for scheduling pre- employment and pre - permitting driver drug and alcohol testing and for enrolling all current drivers in a mandatory controlled substance and alcohol testing certification program as mandated by California Government Code Section 53075.5, and which follows program components and testing requirements of the Federal Code of Regulations, Title 49, Part 40 and Part 382, as amended. Testing shall be conducted as a condition for initial driver permit authorization. Annual testing shall be conducted as a condition for permit renewal. Random testing may be conducted and additional tests may be required, including post accident testing, rehabilitation and return -to- service testing, and reasonable suspicion testing. Drivers must show a valid California driver's license at the time and place of testing. Grantee shall contract with a consultant (program administrator) and authorized lab approved under the Federal Register to facilitate the program and shall provide a copy of the contracts to City. Test results shall be provided to Grantee as the employing entity. Information shall be supplied to City pertaining to any positive test results and shall include driver name, identifying information, and driver permit status, including any entry into a rehabilitation program. Specific driver test results shall remain confidential, on file by driver with Grantee, but testing information, including date of annual test and random test, and positive or negative results, shall be available for City's review. Cost of testing shall be the 6 driver's responsibility, if the driver is an independent contractor of Grantee, or Grantee's responsibility, if the driver is an employee. In accordance with the Federal Code of Regulations, Grantee's certification program must include information regarding the controlled substance and alcohol use policy and procedures as well as educational materials made available to all drivers and other pertinent staff. Grantee or its authorized agency must advise drivers of the resources available to them to resolve problems associated with misuse of alcohol and controlled substances. Materials for education and company policies must be made available to all current and potential drivers and a signed statement of their receipt shall be in every permitted driver's file and retained by Grantee. Grantee shall train supervisory personnel in accordance with federal guidelines in order to determine whether reasonable suspicion exists to require a driver to undergo additional testing. Grantee shall use custody and control forms similar to that used under the federal testing guidelines. Any changes in the federal program guidelines or otherstate mandates will be considered by City for modification to Grantee's program. (g) Social Benefits Programs. Grantee shall comply with all applicable local, state and federal rules, regulations and statutes concerning mandated social benefits programs for employees. It shall be the sole responsibility of Grantee to determine whether legislation concerning these social benefits applies to Grantee's operations. SECTION 3. Except as expressly modified by this Ordinance, all other terms and conditions of the taxicab franchise granted to Taxi! Taxi! pursuant to Ordinance No. 2332 (CCS) shall be and remain in full force and effect. 7 SECTION 4. 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 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 5. 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. APPROVED AS TO FORM: ;`ll/ MARIA J NHS MOUT�R'IE City�Attorney fJJ City Council Meeting 09 -27 -2011 Santa Monica, California ORDINANCE NUMBER_ (CCS) (City Council Series) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA AMENDING ORDINANCE NO. 2333 (CCS) GRANTING A TAXICAB FRANCHISE TO L.A. TAXI COOPERATIVE, INC., DOING BUSINESS AS YELLOW CAB COMPANY WHEREAS, on July 28, 2009, the City Council adopted Ordinance No. 2292 (CCS), establishing a taxicab franchise system authorizing a maximum of 250 taxicabs in the City, in order to assure reliable, safe, quality taxicab services in the City and to eliminate undue congestion and air pollution, disorganization and hazards associated with the City's previous open -entry regulated taxicab environment; and WHEREAS, on October 12, 2010, Council adopted Resolution No. 10533 (CCS), declaring its intent to grant taxicab franchises to Bell Cab Company, Inc.; Independent Taxi Owners' Association (ITOA); Metro Cab Company, LLC; TMAT Corp., doing business as Taxi! Taxi!; and L.A. Taxi Cooperative, Inc., doing business as Yellow Cab Company, and setting a public hearing; and WHEREAS, on November 9, 2010, Council held a public hearing in accordance with City Charter Section 1601, at which all interested persons were given an opportunity to be heard on all matters relative to the proposed granting of taxicab franchises; and 1 WHEREAS, on November 23, 2010, Council adopted Ordinance No. 2333 (CCS) granting a taxicab franchise to L.A. Taxi Cooperative, Inc., doing business as Yellow Cab Company ( "Yellow Cab "); and WHEREAS, the implementation date for the taxicab franchise program was scheduled for January 1, 2011, but was delayed until March 1, 2011, through no fault of the taxicab franchisees; and WHEREAS, despite the implementation delay, all franchisees paid the full franchise and permit fees for the fiscal year, even though they were unable to operate pursuant to their franchises for part of the year; and WHEREAS, the City finds that for purposes of administrative efficiency and in fairness to the taxicab franchisees, since the taxicab franchisees did not cause the implementation delay and paid all franchise and permit fees for a full year, the City wishes to adjust the permit year from the fiscal year to the calendar year, and thereby extend the expiration date of vehicle and taxicab driver's permits from June 30th to December 31st; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES HEREBY ORDAIN AS FOLLOWS: SECTION 1. Section 7 of Ordinance No. 2333 (CCS) entitled "OPERATIONS AND SERVICE - TAXICABS ", is hereby amended as follows: (a) Taxicab Vehicle Permits. Grantee is responsible for paying the annual taxicab vehicle permit fee for all taxicabs in its fleet, in accordance with the fee specified by resolution of Council, as of the effective date of this Franchise. Taxicab vehicle permits expire each June 38th December 31 st thereafter, and Grantee is responsible for paying the 0. annual taxicab vehicle permit fees and obtaining annual taxicab vehicle permits for all taxicabs in its fleet in accordance with Santa Monica Municipal Code Section 6.49.040(i)(2). (b) Taxicab Operations. All taxicabs used by Grantee within the City must be operated in accordance with, and Grantee shall not permit any taxicab to be driven which is in violation of, this Franchise, the Santa Monica Municipal Code, and Taxicab Rules. (c) Registration and Acquisition of Vehicles. All taxicabs operated under this Franchise must be registered to either Grantee or a Member of Grantee. Taxicabs must either be owned by Grantee, a Member, a commercial lending agency, or leased from a licensed leasing agency whose primary business is. the sale or leasing of vehicles. Any taxicab utilized by Grantee which is owned by it or one of its Members shall have been acquired by way of bona fide purchase, lease, or other transaction approved by the City. Grantee or Member shall submit to City, upon request, the method utilized for vehicle acquisition. Members may sell or transfer a share or taxicab under these same provisions. (d) General Vehicle Maintenance and Repairs. Grantee shall, at its sole expense, monitor and be responsible for all maintenance, repair, and replacement of Grantee's and any driver /manager Member's managed taxicabs. Preventive maintenance must be performed at least in accordance with manufacture recommendations for each taxicab. A copy of maintenance inspection reports, including any repair documentation, shall be filed with City. (e) Age of Vehicles. No taxicab fleet vehicle authorized by this Franchise shall be in excess of the years of age set forth in the Taxicab Rules unless otherwise authorized in writing by City in its sole and absolute discretion. 3 (f) Off - Street Parking Facilities. Grantee shall provide garaging or other off - street parking facilities within one -half mile of its main operating location(s), or as specified by the City, where Grantee's taxicabs are to be parked when not in service or when not being repaired or when not in the possession of a taxicab driver. Grantee shall have sufficient vehicle parking capacity within the main operating location(s) or the garaging or off - street parking facilities to meet the requirements for Grantee's operations, including but not limited to vehicle inspection and maintenance, administrative functions, and training. SECTION 2. Section 8 of Ordinance No. 2333 (CCS) entitled "OPERATIONS AND SERVICE - DRIVERS ", is hereby amended as follows: (a) Authorized Drivers. Grantee shall not issue or dispatch any taxicab operated on behalf of this Franchise to any driver who is in violation of any terms of this Franchise, the Santa Monica Municipal Code, Taxicab Rules, or any other applicable law, rule or regulation. (b) Taxicab Driver's Permits. Grantee is responsible for paying the annual taxicab driver's permit fee for all its taxicab drivers, in accordance with the fee specified by resolution of Council, as of the effective date of this Franchise. Taxicab driver's permits expire each June 38tH December 31 st thereafter and Grantee is responsible for paying the annual taxicab driver's permit fees and obtaining annual taxicab driver's permits for all its taxicab drivers in accordance with Santa Monica Municipal Code Section 6.49.070(e). (c) Work Shifts. Drivers must check in with Grantee at the beginning and end of each shift, and such activity shall be recorded by Grantee. Grantee must maintain daily logs to indicate the vehicle and driver assignments for each shift at all times. Grantee or a 4 driver /manager Member shall make all such assignments. Grantee shall issue and collect waybills in the manner and within the time limits established by the Taxicab Rules. Grantee shall review waybills upon collection to ascertain that the required information is fully and accurately provided. (d) Independent Contractor Drivers. Grantee and its driver /manager Members are authorized to provide taxicab services through a contracting or leasing type of operation with an independent contractor driver. No independent contractor driver may subcontract or sublease the vehicle, or the right to operate the vehicle, to another person. All contracting or leasing arrangements shall be evidenced in writing and subject to City approval. Such lease contract shall provide for the collection and documentation of lease fees by Grantee and driver /manager Members. The lease contract shall not be instituted or changed without City approval. The independent contractor driver shall not use a taxicab as the driver's personal vehicle within the City except when driving to orfrom the beginning or ending of a work shift. Grantee shall maintain current files of all lease contracts in a central location, filed by driver, to verify compliance with these requirements. (e) Training Program. Grantee shall provide a comprehensive screening, testing and training program for all its drivers, including independent contractor drivers. The training program, including curriculum and delivery, must be approved by City and must include City and state rules and regulations; geography, including map reading, major points of interest in the City, and familiarity with the City and surrounding areas; driver safety and defensive driving; vehicle safety and maintenance /inspection checks; customer service and relations; sensitivity guidelines for disabled, frail and elderly passengers; behind the wheel driver training; and accessible vehicle operation training and CPR 4 � certification or equivalent for accessible vehicle drivers. City may authorize or require additional training program components, a change in delivery of program components, or a training facilitator or program outside of Grantee's program at Grantee's or driver's cost if City deems such change will best serve the public interest. (f) Drug and Alcohol Testing. Grantee is responsible for scheduling pre- employment and pre - permitting driver drug and alcohol testing and for enrolling all current drivers in a mandatory controlled substance and alcohol testing certification program as mandated by California Government Code Section 53075.5, and which follows program components and testing requirements of the Federal Code of Regulations, Title 49, Part 40 and Part 382, as amended. Testing shall be conducted as a condition for initial driver permit authorization. Annual testing shall be conducted as a condition for permit renewal. Random testing may be conducted and additional tests may be required, including post accident testing, rehabilitation and return -to- service testing, and reasonable suspicion testing. Drivers must show a valid California driver's license at the time and place of testing. Grantee shall contract with a consultant (program administrator) and authorized lab approved under the Federal Register to facilitate the program and shall provide a copy of the contracts to City. Test results shall be provided to Grantee as the employing entity. Information shall be supplied to City pertaining to any positive test results and shall include driver name, identifying information, and driver permit status, including any entry into a rehabilitation program. Specific drivertest results shall remain confidential, on file by driver with Grantee, but testing information, including date of annual test and random test, and positive or negative results, shall be available for City's review. Cost of testing shall be the L driver's responsibility, if the driver is an independent contractor of Grantee, or Grantee's responsibility, if the driver is an employee. In accordance with the Federal Code of Regulations, Grantee's certification program must include information regarding the controlled substance and alcohol use policy and procedures as well as educational materials made available to all drivers and other pertinent staff. Grantee or its authorized agency must advise drivers of the resources available to them to resolve problems associated with misuse of alcohol and controlled substances. Materials for education and company policies must be made available to all current and potential drivers and a signed statement of their receipt shall be in every permitted driver's file and retained by Grantee. Grantee shall train supervisory personnel in accordance with federal guidelines in order to determine whether reasonable suspicion exists to require a driver to undergo additional testing. Grantee shall use custody and control forms similar to that used under the federal testing guidelines. Any changes in the federal program guidelines or other state mandates will be considered by City for modification to Grantee's program. (g) Social Benefits Programs. Grantee shall comply with all applicable local, state and federal rules, regulations and statutes concerning mandated social benefits programs for employees. It shall be the sole responsibility of Grantee to determine whether legislation concerning these social benefits applies to Grantee's operations. SECTION 3. Except as expressly modified by this Ordinance, all other terms and conditions of the taxicab franchise granted to Yellow Cab pursuant to Ordinance No. 2333 (CCS) shall be and remain in full force and effect. 7 SECTION 4. 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 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 5. 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. APPROVED AS TO FORM L 4 M R HA JON MOUTRfE City attorney E