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Adopted Rules: Closed to Comments

Adopted Rules Content: 

Statement of Basis and Purpose

The Commission held a biennial review of the current fare and lease cap structure on April 2, 2015, as required under §52-04(b)(3-4) of the TLC Rules. These rule amendments are based on testimony and written comments received at the hearing, the review and analysis of Taxicab and Street Hail Livery (“SHL”) operations by TLC staff, and the solicitation of additional feedback from Drivers, taxi garage owners, and leasing Agents.

The amendments to the Medallion Taxicab Service rules:

·        

Allow Medallion Owners and Agents who offer an “all-in” lease, which includes both the lease of the Medallion and the conditional purchase of a vehicle, to extend lease terms beyond the current 156-week maximum and enable lessees to make smaller weekly payments;

·        

Cap the total amount that can be charged for the conditional purchase of the vehicle;

·        

Require lessors to produce and maintain more detailed receipts for payments towards the vehicle purchase;

·        

Permit non-cash payments from lessors to Drivers, provided that any alternative payment method is offered at no additional cost to the Driver;

·        

Provide for an evening rush hour surcharge for Flat Rate trips between John F. Kennedy Airport (“JFK”) and Manhattan; and

·        

Clarify which Sections of TLC Rules apply when leasing a hybrid taxicab.

The amendment to the SHL Service rules provides for an evening rush hour surcharge for Flat Rate trips from Manhattan to JFK.

Lease Caps for All-In Leases

The amendments change the rules for long-term leases to allow Medallion Owners and Agents to extend lease terms for those agreements that include both the lease of a Medallion as well as the conditional purchase of a vehicle (commonly referred to as the "all-in lease"). Currently, Medallion Owners and Agents may charge a weekly amount, which is capped by TLC rule, for up to 156 weeks for an all-in lease. This weekly cap includes both the Medallion portion of the lease as well as payments towards the conditional purchase of the vehicle. Once all payments are made at the end of the current 156-week term, the vehicle title can pass to the Driver if the Driver so requests. Medallion Owners, Agents, and Medallion Drivers have expressed interest in extending payments over longer periods of time to reduce weekly payments under the all-in model.

Under existing rules, lessors cannot enter into conditional purchase agreements with Drivers that require more than 156 weekly payments. Accordingly, lessors are unable to offer lower weekly payments over a longer period of time. The amended rules will permit lease terms to be extended beyond the current 156-week maximum and enable lessees to make smaller weekly payments.  The amended rules also establish a cap on the total amount that may be charged for the vehicle portion of the all-in lease. The current all-in lease cap, after the removal of the Medallion portion of the lease, permits up to $42,900 in total payments over the course of 156 weeks for the purchase of the vehicle. Under the amended rules, no Owner or Agent lessor will be allowed to charge more than the total amount of $42,900 for the vehicle portion of an all-in lease, irrespective of the term of the all-in agreement.

To protect drivers from lease overcharges, the amended rules include an additional itemized weekly cap of $275 for the vehicle portion of the lease. These rules also amend the requirements relating to receipts lessors must give Drivers for weekly payments and maintain in their records for Commission inspection. Under this change, lessors must provide weekly to Drivers the following information:

·        

Receipt of that week’s payment, itemized by the Medallion portion of the lease and the conditional vehicle purchase portion of the lease;

·        

The cumulative amount of payments toward the conditional purchase of the vehicle;

·        

The remaining balance on the conditional purchase of the vehicle; and

·        

The estimated number of remaining payments required for the conditional purchase of the vehicle under the current contract terms.

If lessors fail to include this information, they will be fined $200.  To ensure that lessors retain these documents, which TLC must inspect to investigate allegations of overcharges, lessors will be fined $100 penalty for each missing document.

Non-Cash Payment Methods for Owner and Agent Lessors

Medallion Owner and Agent lessors are required to remit to Drivers all passenger fares paid by credit card.  TLC rules currently require that these payments be made in cash.  Both Drivers and lessors have requested that these payments be permitted in forms other than cash.  Given security concerns associated with requiring lessors to have large sums of cash on hand as well as similar concerns with Drivers leaving garages after having been paid out in cash, the amended rules permit other forms of payment, such as payment by debit card, bank transfer, or check.  The lessor’s chosen form of payment must be offered at no cost to Drivers (for example, the lessor may not charge Drivers an administrative fee to process the payment and Drivers must have a reasonable method to access such reimbursements without incurring fees).  Additionally, Medallion Owner and Agent lessors must continue to make the payments within the same time period required under current rules.  For those lessors making electronic payments (for example, debit card or bank transfer), payment requests must be made to the bank or financial institution through which payments are made within the required time period.     

Cashless payment can help streamline operations, allowing Fleets and Agents to reduce shift change times and enabling the exchange of vehicles between Drivers at off-site locations, both of which can help to expand Taxicab service to passengers at rush hour and provide additional fare opportunities to Drivers.  Additionally, Drivers have responded positively to cashless payment provided in other parts of the City’s for-hire industry.  To ensure payment is made at no cost to Drivers, the amended rules add to the existing fine a penalty for an Owner or Agent who violates the rule requiring them to pay restitution to the Driver in the amount of any additional cost incurred by a Driver for payment. The amended rules also permit Drivers who lease Taxicabs on a weekly basis to choose to be paid out on a weekly basis, which conforms to current industry practice.

Rush Hour Surcharge for Flat Rate Taxi Trips between Manhattan and Kennedy Airport

In 2004, the Commission established an evening rush hour surcharge for weekday trips between 4:00 PM and 8:00 PM. The intent of the surcharge was to encourage Drivers to provide taxi service when supply is insufficient to meet passenger demand. However, the current evening rush hour surcharge does not apply to Flat Rate trips between Manhattan and JFK. Because of the amount of time it takes to make the round trip to JKF, including time spent waiting in the central hold lot, Drivers lose out on money they could have made via the surcharge on metered fares. These losses are amplified by the additional travel time to JFK during rush hours as compared to non-rush hours (56 minutes vs. 41 minutes). Including waiting time at JFK between fares, the average amount of time spent traveling to JFK and returning back to Manhattan during the evening rush hours totals 3 hours.

 

To adequately compensate Drivers for the additional time it takes to complete trips between Manhattan and JFK during the evening rush hour, the rules are amended to provide an evening surcharge for these trips. TLC staff calculated that Drivers can complete 9 regular metered fares, netting an additional $9 in rush hour surcharges, during the time it takes to complete flat rate trips to and from JFK during the evening rush hours. The amended rules provide a surcharge of $4.50 per trip on all Flat Rate trips between Manhattan and JFK on weekdays between 4:00 PM and 8:00 PM.

 

In 2014, Taxis completed on average almost 2,000 trips between Manhattan and JFK each weekday between the evening rush hours of 4:00 PM and 8:00 PM. A rush hour surcharge on the JFK Flat Rate will adequately compensate drivers as they meet this high demand for transportation to JFK.

Rush Hour Surcharge for Flat Rate SHL Trips from Manhattan to Kennedy Airport

The SHL Service Rules provide rates of fare for Hail Trips that mirror those in the Medallion Service Rules.  Accordingly, the SHL rules provide for an evening surcharge for all metered trips on weekdays between 4:00 PM and 8:00 PM.  Additionally, the SHL rules provide a Flat Rate for trips from the Manhattan Hail Zone to JFK.  A review of LPEP records reveal a similar increase in the amount of time it takes a SHL Driver to complete a Flat Rate trip to JFK during rush hours as compared to non-rush hours.  To adequately compensate SHL drivers as they complete Flat Rate trips from Manhattan to JFK during the evening rush hours, the amended rules provide a surcharge of $4.50 per trip on weekdays between 4:00 PM and 8:00 PM. 

 

 

The Commission’s authority for these rules is found in section 2303 of the New York City Charter and sections 19-503 and 19-511 of the New York City Administrative Code.

Effective Date: 
Sun, 10/25/2015

Proposed Rules: Closed to Comments

Agency:
Comment By: 
Thursday, July 16, 2015
Proposed Rules Content: 

The Commission held a biennial review of the current fare and lease cap structure on April 2, 2015, as required under §52-04(b)(3-4) of the TLC Rules. The proposed rules are based on testimony and written comments received at the hearing, the review and analysis of Taxicab and Street Hail Livery (“SHL”) operations by TLC staff, and the solicitation of additional feedback from Drivers, taxi garage owners, and leasing Agents.

The proposed amendments to the Medallion Taxicab Service rules:

·        

Allow Medallion Owners and Agents who offer an “all-in” lease, which includes both the lease of the Medallion and the conditional purchase of a vehicle, to extend lease terms beyond the current 156-week maximum and enable lessees to make smaller weekly payments;

·        

Cap the total amount that can be charged for the conditional purchase of the vehicle;

·        

Require lessors to produce and maintain more detailed receipts for payments towards the vehicle purchase;

·        

Remove the optional gasoline surcharge for Medallion Owners or Agent lessors;

·        

Permit non-cash payments from lessors to Drivers, provided that any alternative payment method is offered at no additional cost to the Driver; and

·        

Provide for an evening rush hour surcharge for Flat Rate trips between John F. Kennedy Airport (“JFK”) and Manhattan.

The proposed amendment to the SHL Service rules provides for an evening rush hour surcharge for Flat Rate trips from Manhattan to JFK.

Lease Caps for All-In Leases

The proposed changes amend the rules for long-term leases to allow Medallion Owners and Agents to extend lease terms for leases that include both the lease of a Medallion as well as the conditional purchase of a vehicle (commonly referred to as the "all-in lease"). Currently, Medallion Owners and Agents may charge a weekly amount, which is capped by TLC rule, for up to 156 weeks for an all-in lease. This weekly cap includes both the Medallion portion of the lease as well as payments towards the conditional purchase of the vehicle. Once all payments are made at the end of the current 156-week term, the vehicle title can pass to the Driver if the Driver so requests. Medallion Owners, Agents, and Medallion Drivers have expressed interest in extending payments over longer periods of time to reduce weekly payments under the all-in model.

Under existing rules, lessors cannot enter into conditional purchase agreements with Drivers that require more than 156 weekly payments. Accordingly, lessors are unable to offer lower weekly payments over a longer period of time. The proposed rules permit lease terms to be extended beyond the current 156-week maximum and enable lessees to make smaller weekly payments.  The proposed rules also establish a cap on the total amount that may be charged for the vehicle portion of the all-in lease. The current all-in lease cap, after the removal of the Medallion portion of the lease, permits up to$42,900 in total payments over the course of 156 weeks for the purchase of the vehicle. Under the proposed rule, no Owner or Agent lessor would be allowed to charge more than the total amount of $42,900 for the vehicle portion of an all-in lease, irrespective of the term of the all-in agreement.

To protect drivers from lease overcharges, TLC proposes an additional itemized weekly cap of $275 for the vehicle portion of the lease. TLC also proposes amending rules on the receipts lessors must give Drivers for weekly payments and maintain in their records for Commission inspection. Under this proposed change, lessors must provide weekly to Drivers the following information:

·        

Receipt of that week’s payment, itemized by the Medallion portion of the lease and the conditional vehicle purchase portion of the lease;

·        

The cumulative amount of payments toward the conditional purchase of the vehicle;

·        

The remaining balance on the conditional purchase of the vehicle; and

·        

The estimated number of remaining payments required for the conditional purchase of the vehicle under the current contract terms.

If lessors fail to include this information, they will be fined $200.  To ensure that lessors retain these documents, which TLC must inspect to investigate allegations of overcharges, lessors will be fined $100 penalty for each missing document.

Gas Surcharge

In 2012, TLC adopted rules providing for an optional gasoline surcharge that could be offered to Drivers leasing Taxicabs on a daily or weekly basis.  The proposed rules remove this optional surcharge after outreach conducted by TLC staff indicated that it is not utilized by Taxicab lessors.

Non-Cash Payment Methods for Owner and Agent Lessors

Medallion Owner and Agent lessors are required to remit to Drivers all passenger fares paid by credit card.  TLC rules currently require that these payments be made in cash.  Both Drivers and lessors have requested that these payments be permitted in forms other than cash.  Given security concerns associated with requiring lessors to have large sums of cash on hand as well as similar concerns with Drivers leaving garages after having been paid out in cash, the proposed Rules would permit other forms of payment, such as payment by debit card, bank transfer, or check, so long as the other forms of payment are provided at no cost to Drivers.  Cashless payment can help streamline operations, allowing Fleets and Agents to reduce shift change times and enabling the exchange of vehicles between Drivers at off-site locations, both of which can help to expand Taxicab service to passengers at rush hour and provide additional fare opportunities to Drivers.  Additionally, Drivers have responded positively to cashless payment provided in other sectors of the City’s for-hire industry.  To ensure payment is made at no cost to Drivers, the proposed rule would add to the existing fine a penalty for an Owner or Agent who violates the rule to pay restitution to the Driver in the amount of any additional cost incurred by a Driver for payment. The proposed rules would also permit Drivers who lease Taxicabs on a weekly basis to choose to be paid out on a weekly basis, which conforms to current industry practice.

Rush Hour Surcharge for Flat Rate Taxi Trips between Manhattan and Kennedy Airport

In 2004, the Commission established an evening rush hour surcharge for weekday trips between 4:00 PM and 8:00 PM. The intent of the surcharge was to encourage Drivers to provide taxi service when supply is insufficient to meet passenger demand. However, the current evening rush hour surcharge does not apply to Flat Rate trips between Manhattan and JFK. Because of the amount of time it takes to make the round trip to JKF, including time spent waiting in the central hold lot, Drivers lose out on money they could have made via the surcharge on metered fares. These losses are amplified by the additional travel time to JFK during rush hours as compared to non-rush hours (56 minutes vs. 41 minutes). Including waiting time at JFK between fares, the average amount of time spent traveling to JFK and returning back to Manhattan during the evening rush hours totals 3 hours.

 

To adequately compensate Drivers for the additional time it takes to complete trips between Manhattan and JFK during the evening rush hour, TLC proposes an evening surcharge for these trips. TLC staff calculated that Drivers can complete 9 regular metered fares, netting an additional $9 in rush hour surcharges, during the time it takes to complete a trip to and from JFK during the evening rush hours. The proposed rules provide a surcharge of $4.50 per trip on all Flat Rate trips between Manhattan and JFK on weekdays between 4:00 PM and 8:00 PM.

 

In 2014, Taxis completed on average almost 2,000 trips between Manhattan and JFK each weekday between the evening rush hours of 4:00 PM and 8:00 PM. A rush hour surcharge on the JFK Flat Rate will adequately compensate drivers as they meet this high demand for transportation to JFK.

Rush Hour Surcharge for Flat Rate SHL Trips from Manhattan to Kennedy Airport

The SHL Service Rules provide rates of fare for Hail Trips that mirror those in the Medallion Service Rules.  Accordingly, the SHL rules provide for an evening surcharge for all metered trips on weekdays between 4:00 PM and 8:00 PM.  Additionally, the SHL rules provide a Flat Rate for trips from the Manhattan Hail Zone to JFK.  A review of LPEP records reveal a similar increase in the amount of time it takes a SHL Driver to complete a Flat Rate trip to JFK during rush hours as compared to non-rush hours.  To adequately compensate SHL drivers as they complete Flat Rate trips from Manhattan to JFK during the evening rush hours, the proposed rules provide a surcharge of $4.50 per trip on weekdays between 4:00 PM and 8:00 PM. 

 

 

The Commission’s authority for these rules is found in section 2303 of the New York City Charter and sections 19-503 and 19-511 of the New York City Administrative Code.

Subject: 

.Taxicab Fare and Lease Cap Rule Updates

Location: 
Taxi and Limousine Commission
33 Beaver St, 22nd Floor
New York, NY 10004
Contact: 

33 Beaver Street – 22nd Floor, New York, New York 10004
tlcrules@tlc.nyc.gov

Adopted Rules: Closed to Comments

Adopted Rules Content: 

 

Statement of Basis and Purpose of Rule

 

These rules amend the Taxi and Limousine Commission’s rules governing the leasing of taxicabs or taxicab medallions. The Commission’s authority to adopt these rules is found in section 2303 of the New York City Charter and section 19-503 of the New York City Administrative Code.

 

These rules reflect evidence and testimony gathered at the hearings held on May 31 and July 9, 2012.

 

The rules:

 

·       Change the mechanism by which medallion owners collect credit card charges from drivers with a lease cap increase.

·       Authorize (but do not require) lessors who lease their medallions and vehicles on a shift basis to charge a lease cap surcharge for gas they provide to drivers who lease from them.

·       Create a new class of lease, the Standard Medallion Lease, which includes long term lease of a vehicle or conditional purchase of a vehicle. The lease cap for the Standard Medallion Lease takes into account the cost of the vehicle.

 

In addition, as required by the Stipulation and Order of Dismissal of MTBOT, et al., v City of New York, No. 08-7837, these rules rescind the rules that, beginning on May 1, 2009, would have reduced the maximum lease rates that an owner of a non-hybrid taxicab could charge a driver. As a result of a preliminary injunction granted by the district court of the Southern District of New York on June 22, 2009, those rules were never enforced.

 

 

Effective Date: 
Sun, 09/30/2012

Adopted Rules: Closed to Comments

Adopted Rules Content: 

 

Statement of Basis and Purpose of Rule

 

Over 1.2 million people per day ride in vehicles regulated by the Taxi and Limousine Commission. Since the demise of the Checker company in the early 1980’s, none of the vehicles used by the New York City medallion taxicab industry have been designed especially for taxicab service, and they are often repurposed police cruisers, minivans, or passenger sedans. Since these cars have not been designed or engineered specifically for taxi use, they have not included features and amenities that would be beneficial to owners, drivers, and passengers. Nor have they incorporated the latest technologies, accessibility features for people with disabilities, or safety advances.

 

In 2007, the City issued a Request for Information (RFI) and convened a Taxi of Tomorrow Advisory Committee (including taxi drivers, passengers, medallion owners, advocates for people with disabilities, advocates for the environment, various taxi driver and owner organizations, and designers) to help insure that the new taxicab meets the needs of diverse stakeholders.

 

In 2009, the City issued a Request for Proposals (RFP) seeking an exclusive provider of taxicabs to the medallion taxi industry. It sought a vehicle that offered:

 

·         The highest safety standards Superior passenger experience Superior driver comfort and amenities

·         Appropriate purchase price and on-going maintenance and repair costs

·         Minimal environmental impact

·         Minimal physical footprint with more useable interior room

·         Accessibility for all users

·         Iconic design that will identify the taxi with New York City

 

After receipt of 7 proposals from a variety of manufacturers, and a year-long detailed evaluation process, the City selected Nissan North America (Nissan) to be the exclusive taxicab provider for 10 years (with an additional 5-year commitment to provide parts and service). The Taxi of Tomorrow will also be available in a wheelchair accessible version. The Taxi of Tomorrow taxicabs will be known as Official Taxicab Vehicle (OTV) or the Accessible Official Taxicab Vehicle (AOTV).

 

The rule requires that if a medallion owner acquires a new vehicle on or after the activation date for the Taxi of Tomorrow, the owner must hack up the medallion with the Taxi of Tomorrow vehicle, to be known as the Official Taxicab Vehicle or the Accessible Official Taxicab Vehicle. The TLC anticipates the activation date for the Taxi of Tomorrow will be October 31, 2013. After the activation date, any candidate for a taxicab vehicle, including an accessible taxicab vehicle, must be safety tested with a partition.

 

Exemptions to this requirement include:

 

·       Owners of Medallions restricted to use with Alternative Fuel Vehicles may purchase any alternative fuel taxicab which meets the specifications described in TLC Rule 67-05.

·       Owners of the 231 Medallions issued prior to January 1, 2012 that are restricted to use with Wheelchair Accessible Vehicles, may purchase any accessible Taxicab which meets the accessible vehicle specifications set forth in Rule 67-05.2, including the Accessible Official Taxicab Vehicle.

·       Owners of Accessible Medallions issued by TLC on or after January 1, 2012 may purchase any accessible Taxicab which meets the accessible vehicle specifications set forth in Rule 67-05.2, including the Accessible Official Taxicab Vehicle.

·       With TLC’s authorization, owners of up to 496 Unrestricted Medallions issued prior to January 1, 2012 who choose to use an accessible vehicle may purchase any accessible Taxicab which meets the accessible vehicle specifications set forth in Rule 67-05.2, including the Accessible Official Taxicab Vehicle.

 

Vehicle Requirements/Options by Medallion Type

 

 

Nissan NV200 (OTV)

Nissan/Braun NV200 Accessible (AOTV)

TLC- Approved Hybrid or CNG

TLC-Approved Wheelchair- Accessible

Unrestricted Medallion issued prior to January 1, 2012

 

YES

 

YES

 

NO

 YES,

 up to 496 medallions

Restricted Alternate-Fuel Medallion issued prior to January 1, 2012

 

NO

 

NO

 

YES

 

NO

Restricted Wheelchair-Accessible Medallion issued prior to January 1,2012

 

NO

 

YES

 

NO

 

YES

2000 Restricted Medallions authorized by Street Hail Livery Law.

 

NO

 

YES

 

NO

 

YES

 

 

The rule requires the TLC to provide at least 120 days notice to medallion owners prior to the date after which unrestricted medallions must be hacked-up with the Official Taxicab Vehicle. The rule also makes certain, largely technical changes, to current taxicab rules to account for the fact that the Official Taxicab Vehicle will be manufactured and delivered under specifications set by contract with the manufacturer of the vehicle.

 

The Commission’s authority for this rules change is found in section 2303 of the New York City Charter and section 19-503 of the New York City Administrative Code.

 

In addition, these rules amend TLC rules governing the leasing of taxicabs or taxicab medallions to reflect the implementation of the Taxi of Tomorrow and will take effect once the Taxi of Tomorrow (ToT) is available for hack-up (the OTV Activation Date). The Commission’s authority to adopt these rules is found in section 2303 of the New York City Charter and section 19-503 of the New York City Administrative Code.

 

Amendments to Shift Leases

 

Some unrestricted medallion holders have hacked up hybrid vehicles and charged a $3 higher hybrid lease cap to drivers who lease their medallions. When the ToT becomes available these medallion owners will no longer be permitted to hack up with hybrid vehicles. Therefore, to help maintain these medallion owners’ business model and maintain the balance of costs and revenues for both owners and drivers, the TLC will increase by $3 the optional gas surcharge available to unrestricted medallion holders who list on a daily or weekly shift basis.

 

The amendments will:

 

·       On the date when the ToT first becomes available for use as a taxi (OTV Activation Date), increase the optional fuel surcharge by $3 per shift for all vehicles that are not hybrid vehicles.[1]

·       Permit all medallion owners (except for those already charging the hybrid lease rate)-- including those operating ToT vehicles and those still operating other vehicles--to apply the increased optional fuel surcharge on the OTV Activation Date.

 

Amendments to DOV Leases

 

The rules also amend the rules governing leases of medallions to drivers who own or lease their vehicles (DOV leases) to account for the fact that many medallion owners who currently lease their medallions to DOV operators are able to benefit from the driver's operating a hybrid vehicle by charging the driver the hybrid lease cap. The change will enable these medallion owners to earn the same revenues with ToT that they earned without ToT.

 

·         As ToT vehicles are placed into service:

o   Owners leasing medallions and medallion and vehicle packages to operators of ToT vehicles will be permitted to charge hybrid lease rates.

o   Medallion owners whose vehicles are required to be hybrids (i.e., restricted alternative fuel medallions) will continue to be able to lease these vehicles at hybrid lease rates.

 

Retirement Deadlines and Public Hearing

 

A public hearing on the rules as proposed was held by the TLC on September 6, 2012. Among the public comments received as testimony were several suggestions that the TLC consider granting retirement extensions to owners of vehicles retiring before the OTV activation date to facilitate a smooth roll out of the ToT vehicle and to allow some owners to wait to buy a ToT vehicle rather than being forced to buy a non-ToT vehicle before the OTV activation date. The staff considered this suggestion and agreed and proposed amending vehicle retirement requirements for certain vehicles as follows:

 

·       Taxicabs currently scheduled to retire beginning November 1, 2012 through May 31, 2013 will receive an extension through December 1, 2013 or such earlier date on which the owner elects to hack up a TOT vehicle.

·       Taxicabs currently scheduled to retire beginning June 1, 2013 through September 30, 2013 will receive an extension of six months, or such earlier date on which the owner elects to hack up a TOT vehicle.

·       To obtain an extension, an owner must file an election form with the TLC and specify the date by which they intend to hack up a TOT vehicle. The hack up date becomes the new scheduled retirement date.

·       Owners electing to participate and obtain an extension must acquire a TOT vehicle at the retirement of the existing vehicle.

·       Owners will obtain the extension will not be permitted to hack up a different vehicle before the newly elected scheduled retirement date unless a TOT vehicle is hacked up.

·       Owners will not be permitted to hack up another vehicle before the TOT vehicle becomes available. The TLC can grant exemptions to this requirement for good cause.

 

[1]This $3 per shift fuel surcharge increase will not apply to medallion owners leasing hybrid vehicles; however, these medallion owners will continue to be able to charge the higher hybrid lease rate.



 

Effective Date: 
Wed, 10/31/2012

Proposed Rules: Closed to Comments

Agency:
Comment By: 
Monday, July 9, 2012
Proposed Rules Content: 

 

 

Statement of Basis and Purpose of Proposed Rule

 

This rule amends the Taxi and Limousine Commission’s rules governing the leasing of taxicabs or taxicab medallions. The Commission’s authority to make this rule is found in section 2303 of the New York City Charter and section 19-503 of the New York City Administrative Code.

 

The Commission held a lease cap hearing on May 31, 2012. These rules reflect evidence and testimony gathered at the hearing.

 

The proposed rules:

 

  • Change the mechanism by which medallion owners collect credit card charges from drivers with a lease cap increase.
  • Eliminate the lease cap differential applicable to hybrid vehicles.
  • Authorize (but do not require) lessors who lease their medallions and vehicles on a shift basis to charge a lease cap surcharge for gas they provide to drivers who lease from them.
  • Create a new class of lease, the Standard Medallion Lease, which includes long term lease of a vehicle or conditional purchase of a vehicle. The lease cap for the Standard Medallion Lease takes into account the cost of the vehicle.

 

 

In addition, as required by the Stipulation and Order of Dismissal of MTBOT, et al., v City of New York, No. 08-7837, these rules rescind the rules that, beginning on May 1, 2009, would have reduced the maximum lease rates that an owner of a non-hybrid taxicab could charge a driver. As a result of a preliminary injunction granted by the district court of the Southern District of New York on June 22, 2009, those rules were never enforced.

 

 

Subject: 

The Taxi and Limousine Commission (“TLC”) is considering modifying its rules regulating taxicab lease caps- and the maximum dollar amount per shift for which taxis can be leased.

Location: 
33 Beaver Street, 19th Floor, Commission hearing room
New York, NY 10004
Contact: 

Taxi and Limousine Commission, Office of Legal Affairs, 33 Beaver Street – 22nd Floor, New York, New York 10004

Download Copy of Proposed Rule (.pdf): 

Proposed Rules: Closed to Comments

Agency:
Comment By: 
Monday, April 8, 2013
Proposed Rules Content: 

 

 

Statement of Basis and Purpose of Proposed Rule

 

These rules amend the Taxi and Limousine Commission’s rules governing the leasing of taxicabs and taxicab medallions. The Commission’s authority to adopt these rules is found in section 2303 of the New York City Charter and section 19-503 of the New York City Administrative Code.

 

Following hearings held on May 31 and July 9, 2012, on July 12, 2012, the Commission approved rules changing lease caps and certain other rules pertaining to the leasing of taxicabs and taxicab medallions, as well as rules regarding taxicab rates of fare. The fare rules took effect on September 4, 2012 and the leasing rules took effect on September 30, 2012.

 

Following adoption of these rules, participants from the taxicab industry met with the TLC and identified a number of instances where a technical clarification or qualification to the rules passed on July 12 might be helpful. In addition, in accordance with the settlement of the lawsuit “Metropolitan Taxicab Board of Trade and JTL Management et. al. v. The New York City Taxi & Limousine Commission et. al” (Index 103849/2012), which resulted in a preliminary injunction against certain of the leasing rules, the TLC agreed to propose certain other changes to the rules. The TLC proposes these rules to address some of the comments received after adoption of the first set of changes to the rules.

 

The proposed rules:

 

  • Clarify provisions regarding responsibility for service and maintenance

 

  • Change how credit card charges are paid and implement a surcharge payable by a driver coupled with a lower lease cap

 

  • Clarify that an agent cannot charge a surcharge in addition to the surcharge collected under the lease cap rules.

 

  • Clarify the provisions requiring the pro-rating of lease amounts if the vehicle is unavailable. Allow late charges for late payments in certain instances.

 

  • Allow owner fines for missed inspections, suspended drivers and illegal subleases to be charged to drivers in certain circumstances.

 

  • Clarify that reasonable cancellation charges can include repossession fees.

 

  • Modify marking specifications to reflect the recent elimination of exterior fare decals. Modify penalties for retaliation against complaining lessees.

 

  • Provide a test for determining whether financing of a vehicle by a public corporation is related to a medallion lease when the lessor holds stock in the public corporation.

 

 

Subject: 

The Taxi and Limousine Commission is considering changing its rules. The change would amend rules regulating taxicab lease caps- and the maximum dollar amount per shift for which taxis can be leased and changing some of the ways in which fares are calculated.

Location: 
33 Beaver Street 19th Floor
New York, NY
Contact: 

Taxi and Limousine Commission, Office of Legal Affairs, 33 Beaver Street – 22nd Floor, New York, New York 10014

Download Copy of Proposed Rule (.pdf):