INDUSTRY IN REVIEW

by Don McCurdy


Who’s in charge here?

DC taxicab companies are reportedly telling the city that the city is in charge of enforcing the city’s regulations. What? How dare they! According to the story, a company manager told the reporter that they could pull the driver’s agreement for refusing an African American passenger but the driver would just move to another company. Yeah, that’s probable, but what he really said was “my company’s reputation is of no value and we’d let Chuck Manson drive if he paid his lease.”  

Those companies do exist, especially in a flag oriented city. So, does fault fall to the city? In my opinion it is the responsibility of the city to enforce its laws. While franchise restaurants have rules they must abide by them to maintain their franchise. The city doesn’t just assume taxi cab companies are in compliance with city regulations. Inspectors get sent, violators are discovered and dealt with according to the city’s regulations

Does that mean dressing up like gang bangers and trying to wave down cabs? Not hardly. The driver has to have some discretion. Interestingly, the driver who admitted he did not pick up the first passenger because of his race was black himself, though by his accent I would guess he is African. Is somebody interested in why that is? Not really. Do black people wake up one morning and decide they’re going to discriminate against other black people? I would think that there is learned behavior at work here.  

Perhaps, the “investigative reporter” would be interested in getting down to causes and conditions. But then, perhaps, not. Rarely are reporters interested in the truth, just the low hanging fruit of the story. You can bet if it is a story the press is excited about it’s a story politicians will get excited about, especially if it’s about race or sex.


Ocean City nixes medallion deal.

Well, let’s clear up all that nonsense about it being good for the industry when Ocean City, Maryland started selling taxi permits. It’s the money stupid!

The city nixed a medallion deal based on the city’s share of the sale not being enough to suit it. We all remember the deal. When the permit is sold to a person other than the one the city first sold the permit to, the city gets to wet its beak to the tune of 25% of the sale price. The catch is that the city gets to buy the permit if it deems the price too low.  

Well, it’s reported that a previous permit holder was wiped out by hurricane Sandy and didn’t have a car or the cab so he agreed to sell the permit for under the market rate if the city bought his totaled car, loaned him a second car and paid the city’s fees for the permit transfer. The Commission thinks it should get a cut of the sale of the car and include $750 in the sales price which would increase the city’s vig on the deal another $437.50. Hey, that may seem like small change but there’s a principal here! The city has to protect their honorarium and it’s up to the Commission to see to it that proper respect gets paid. So, let’s just fugetaboutit.


Ooh baby, baby it’s a wild world.

Let’s say you’re a somewhat stodgy federal judge, used to the pomp and ceremony that accompany the processes and procedures upon which federal courts run. Now, insert fifty mostly washed New Orleans taxicab drivers into your world of order and dignity.  

Not used to jeers and cheers? Well, normally judges don’t put up with a lot of that stuff, but I would imagine there’d have been a riot if they had tried to remove the good citizen cabbies of New Orleans. The drivers don’t like the changes the city has proposed and is suing in an attempt to stop the process. The judges have ruled for and against the drivers in various portions of the case, but it sure must have been interesting to see the people your rulings will affect up close and personal.


Don’t drink the Kool-Aid John!

In a recent letter to the editor, John Horn, a Luxor Cab driver, makes the point that taxicabs are regulated for “your safety.” While that is true in some locations it is no longer so in San Francisco, the town of John’s lament. When you start selling permits to do business it is no longer about “your safety,” it’s about your money.  

There is no compelling “safety” reason for the city to sell permits. Not in San Francisco or New York City. License drivers? Yep. Inspect cars? Yep. License companies? Yep. Sell permits or medallions? Hardly. There are those who will tell you that it “protects” the driver and keeps a better class of driver when permits are restricted? Really?

For the taxicab driver a medallion owner is just another in line with their hand out. San Francisco was one of the few cities that was putting the permit in the hands of the driver, until now. Now, it’s just another short sighted bureaucracy raising the price of a service in perpetuity for a few bucks. Sorry, John, it’s not only about safety.


Monthly segment?

UBER IN THE NEWS. Perhaps, I need to have a new monthly segment. Uber is getting ink coast to coast and has mobilized companies, drivers and regulators into action, both for and against. San Francisco drivers have filed a class action lawsuit. DC has passed regulations allowing them. Boston has instituted a new limousine ordinance with a two hour waiting period. Now, Boston didn’t mention Uber in their ordinance, but it looks a little like Uber anchor to me.  

Chicago passengers and companies are suing Uber and the city has cited them for their 20% gratuity. 20% gratuity? What’s not to like about that? Toronto drivers are being chastised by their affiliated companies for using Uber. The New York City Taxicab and Limousine Commission has run Uber out of town. I’m sure I missed a lot of Uber news, but it sure has stirred up the industry.  

I haven’t heard of them coming to the Houston area, though there are a large number of independent permit holders. I don’t know who their spiritual advisor are, but NYC, Boston, SF and several others are obvious tough nuts to crack.


I hate it when that happens. 

Well, no smart meters by inauguration. It seems that a recently fired DC city employee is reported to have botched his assignment to establish criteria for the smart meter contract. Apparently, somebody actually read the contract. It’s hard to believe that there could be any kind of corruption in DC that could actually get someone fired, especially related to the taxicab industry.



If you have any comments regarding this or any of my articles please feel free to contact me at dmc@mcacres.com. —dmc

 


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