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O2376City Council Meeting: 10 -11 -2011 Santa Monica, California ORDINANCE NUMBER 2376 (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 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 December 31st thereafter, and Grantee is responsible for paying the annual 2 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 December 31st 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 12 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 5 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 9 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. MA SHA O ES MO TR E Cit Attorn U. Approved and adopted this 11th day of October, 2011. Ric and Bloom, Mayor State of California ) County of Los Angeles ) ss. City of Santa Monica ) I, Denise Anderson - Warren, Acting City Clerk of the City of Santa Monica, do hereby certify that the foregoing Ordinance No. 2376 (CCS) had its introduction on September 27, 2011, and was adopted at the Santa Monica City Council meeting held on October 11, 2011, by the following vote: Ayes: Council members: Holbrook, O'Connor, O'Day, McKeown, Shriver Mayor Pro Tern Davis, Mayor Bloom Noes: Council members: None Absent: Council members: None A summary of Ordinance No. 2376 (CCS) was duly published pursuant to California Government Code Section 40806. ATTEST: Denise Anderson - Warren, Acting City Clerk