IATR — IN FOCUS
by Matthew W. Daus, Esq. President, International Association of Transportation Regulators Distinguished Lecturer, University Transportation Research Center, Region 2

On Tuesday, April 20th I was invited to speak at the Taxicab, Limousine & Paratransit Association (TLPA) at its conference held in Charleston, South Carolina. It is always a true pleasure working with industry legends and innovators such as Victor Dizengoff, currently the President of the TLPA, who is doing a fantastic job along along with the TLPA staff. Al LaGasse and his staff have helped build this group into a formidable lobbying, educational and networking organization.

Representing both the IATR (International Association of Transportation Regulators) and UTRC (University Transportation Research Center, Region 2), I delivered a presentation entitled “Counteracting Illegal Operators: A Regulatory and Transportation Planning Perspective.” I served on a panel with industry operators who have been plagued by and fighting against the problems associated with unlicensed and substandard services poaching their business. I was joined by Moderator, Dwight Kines, Yellow Cab (Baltimore, MD), Charlie King, Red Top Cab, (Arlington, VA), and Paul Rosenberg, Yellow Cab, (Atlantic City, NJ).

I laid out what I believe to be the elements of the “Art of War” against illegal operators. First, the “rules of engagement” revolve around winning the war not just a few skirmishes or battles. The systematic dedication of resources and a strategic plan are necessary otherwise enforcement can and will be “hit and miss.” Also, it makes sense in this context to “fight the war on several fronts” enlisting “all possible allies” along the way.

In terms of resources, a combination of stringent regulations, innovative deployment and recruitment of all possible law enforcement personnel is the key to success. If the laws are not strict enough unlicensed operation becomes a mere cost of doing business. Such rules should include fines, vehicle confiscation or seizure, criminal penalties and business owner accountability.

Laws, such as the recently enacted New York State Anti-Hustling Law that applies to NYC airports, should be expanded to include all areas of the City, have even stiffer penalties, and be replicated around the country. I worked hard as NYC TLC Commissioner, along with the NYC taxi industry, to pass this law, and it is truly the answer to stopping this problem in its tracks. Also, I encouraged other jurisdictions to work with their local regulators to help them enlist any and all troops to help enforce these laws whether they are taxi inspectors, airport police, local precincts or simply passengers calling to file a complaint with the government regulator.

The war against illegal operators must, however, be fought on several fronts, not just on the streets with law enforcement, but with passengers and through the deterrent effect of tough laws. A long term strategic battle plan must include:

(1) improved and safer licensed service;

(2) increased passenger awareness; and

(3) innovative transportation planning.

The better a licensed system is, the less likely passengers are going to take illegal car services, and this may include regulatory improvements such as:

• credit and debit card payments;
  
  
  
• vehicle retirement;
  
  
  
• medallion or franchise systems that promote business responsibility and high licensing standards (training, driver record reviews, drug testing, criminal background checks, etc…..).
  

Likewise, various regulatory steps can be taken in addition to improving the service that will dissuade passengers from taking illegal services including:

• clear and easy to identify licensed vehicle markings;
  
  
  
• the interior posting of driver licenses and exterior display of vehicle licenses, and
  
  
  
• the establishment and posting of a passenger bill of rights.
  

These steps enable and empower passengers to tell the difference between safe and superior licensed service and unlicensed or unregulated vehicles.

Finally, innovative transportation planning can be used to deter illegal activity and improve service including for example, taxi or livery stands with dispatchers at transportation hubs that are frequented by illegal operators.

The most significant point I made is that the war against illegal operators cannot be won alone. All possible allies can and should be enlisted including but not limited to:

• licensed companies and drivers,
  
  
  
• trade organizations, regulators, legislators, enforcement agencies, passengers and
  
  
  
• the media.
  

All have a common interest in ensuring safe transportation and a level playing field, and even the media has an interest in reporting enforcement operations and the public nature of this problem which, of course, should also serve to heighten passenger awareness and discourage them from taking illegal services.

The TLPA was an excellent forum to discuss this topic as the best feedback on what is going on at the street level is from the licensed businesses that are losing business because of those who do not play by the rules. Although every jurisdiction has its own war stories there is a common thread and theme to all of them which gives us hope that one day, with the right commitment, resources and plan, things could get significantly better.

I ended with a proposal for the TLPA to possibly entertain a pilot program, in a carefully selected U.S. city, in which to focus all of its organizational resources to apply these principles. This would include coordinating lobbying, outreach, media and other efforts in order to develop a successful model that can be replicated around the country and beyond.

Given the TLPA’s successful record in establishing and coordinating taxi, for-hire and paratransit projects on an international level, I am optimistic they could be just as successful with some “hand-to-hand combat” on a local level as well. That would replace “talking” about the woes of illegal operators into “action” to eliminate them from the streets.