TO:
Honorable Mayor Powell and Members of the City Council
THROUGH:
Mark Danaj, City Manager
FROM:
Bruce Moe, Finance Director
Steve S. Charelian, Revenue Services Manager
SUBJECT:Title
Award of Five-Year Taxicab Franchises to All Yellow Taxi, Inc., Bell Cab Company, Inc., United Independent Taxi Drivers, Inc. and Yellow Cab of South Bay Cooperative, Inc. Effective January 1, 2015 (First Year Revenue of $152,295) (Finance Director Moe).
APPROVE
Lin
RECOMMENDATION:
Staff recommends that City Council award five-year Taxicab franchises to: All Yellow Taxi, Inc. (30 Cabs); Bell Cab Company, Inc. (30 Cabs); Yellow Cab of South Bay Cooperative, Inc. (which includes Manhattan Yellow) (65 Cabs); and United Independent Taxi Drivers, Inc. (40 Cabs).
FISCAL IMPLICATION:
Collectively, the four franchises will generate revenue of $152,295 ($923.00/cab) in the first year. Subsequent years will be adjusted by the Consumer Price Index for September, or $25.00, (whichever is greater).
BACKGROUND:
In 1999, the City implemented a franchise system limiting the number of taxicabs operating in Manhattan Beach. The implementation was in response to concern for public safety and welfare due to an excessive number of taxi cabs trolling the streets in search of fares. In addition to placing limits on the number of taxi cabs, the franchise system enabled the City to better control the manner and condition under which taxi service is provided to the residents, as well as provides additional revenue.
The franchise system allows the City to establish certain standards, previously unattainable without contractual obligation, including age and minimum fuel economy of authorized vehicles, trip routing, driver background checks, training standards, identification placards, discounted rates for seniors, minimum insurance, and ADA requirements. The franchise agreements allow only authorized companies with a limited number of vehicles to pick-up fares withi...
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