City Council Meeting: December 14, 2010
Agenda Item: 7-E
To: Mayor and City Council
From: Carol Swindell, Director of Finance
Subject: Ordinances Increasing the Maximum Number of Taxicabs Recommended Action
Staff recommends that City Council introduce for first reading ordinances amending the taxicab franchises with Bell Cab Company, Independent Taxi Owners Association, Metro Cab Company, Taxi Taxi, and Yellow Cab Company to increase the maximum number of taxicabs per company to up to sixty.
Executive Summary
At its November 23, 2010 meeting, Council adopted ordinances granting taxicab franchises to Bell Cab Company, Independent Taxi Owners Association, Metro Cab Company, Taxi Taxi, and Yellow Cab Company. During its November 9, 2010 meeting, Council also directed staff to return to Council with necessary actions to increase the maximum number of permitted taxicabs to 300. On November 23, Council introduced the necessary ordinance increasing the total number of taxicabs from 250 to 300. This report modifies each franchise ordinance to increase the maximum number of taxicabs to sixty for each company. The recommended ordinance change would increase projected revenue by approximately $25,000 annually.
Background
The 2008 Nelson\Nygaard Santa Monica Taxi Study concluded, among other findings, that Santa Monica has too many taxicabs. The study included an extensive discussion of methodologies to determine the right number of taxicabs for Santa Monica. The study looked at numerous factors, including an economic analysis, on-street data collection, and comparisons to comparable cities.
The study concluded that the optimal number of taxicabs in Santa Monica was between 200 and 300. At its July 28, 2009 meeting, Council approved an ordinance that set the maximum number of taxicabs at 250, the midpoint of the recommended range.
At its November 9, 2010 meeting, Council introduced for first reading ordinances granting taxicab franchises to Bell Cab Company, Independent Taxi Owners Association, Metro Cab Company, Taxi Taxi, and Yellow Cab Company. During discussions related to the proposed franchise system, Council expressed concern about the total number of taxicabs, including:
· The number of taxicabs permitted in Santa Monica that could also be permitted to serve Los Angeles and other surrounding cities.
· Ensuring that 250 taxicabs are available for passengers in Santa Monica at all times, given that some taxicabs would be transporting passengers to destinations outside the city, such as Los Angeles International Airport.
· That 250 taxicabs may not be sufficient, given the range in the Nelson\Nygaard City Council Meeting: Date https://www.smgov.net/departments/council/agendas/2010/20101214/s2... 1 of 2 7/7/2019, 11:39 AM
recommendation and the number of large events that take place in the city, such as GLOW, L. A. Marathon and American Film Market.
Council then directed staff to prepare necessary ordinances to increase the maximum number of permitted taxicabs to 300, which is the maximum number recommended in the Nelson\Nygaard study. On November 23, 2010, Council introduced for first reading an ordinance modifying Santa Monica Municipal Code Section 6.49.040 (d), increasing the total number of permitted taxicabs to 300. This ordinance’s second reading is on tonight’s agenda.
Discussion
As part of its action establishing taxicab franchises on November 9, 2010, Council directed staff to increase each franchise taxicab company’s allocation to sixty vehicles. The attached ordinances modify the franchise ordinances with Bell Cab Company, Independent Taxi Owners Association, Metro Cab Company, Taxi Taxi, and Yellow Cab Company to allow up to sixty taxicabs per company.
Financial Impacts & Budget Actions
The proposed ordinances would increase revenue by approximately $25,000 annually due to the additional number of taxicabs. Revenue generated from the taxicab franchises offsets the City’s cost to administer the franchises.
Prepared by: Donald P. Patterson, Business & Revenue Operations Manager Approved: Forwarded to Council:
Carol Swindell
Director of Finance
Rod Gould
City Manager
Attachments: Ordinances modifying Taxicab franchises
A. Taxicab franchise to Bell Cab Company, Inc.
B. Taxicab franchise to Independent Taxi Owners’ Association C. Taxicab franchise to Metro Cab Company, LLC
D. Taxicab franchise to TMAT Corp., Doing Business as Taxi! Taxi! E. Taxicab franchise to L.A. Taxi Cooperative, Inc., Doing Business as Yellow Cab Company
City Council Meeting: Date https://www.smgov.net/departments/council/agendas/2010/20101214/s2... 2 of 2 7/7/2019, 11:39 AM