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SFMTA Taxi ServicesTaxi Advisory Council MINUTESMonday, September 27, 2010 2nd Floor Atrium Conference Room 1 South Van Ness Avenue
PRESENT: T. Ajaegbu; J. Bolig; J. Gillespie; L. Graham; J. Han; D. Hinds; D. Khan; B. Korengold; J. Lazar; C. McMurdo; W. Minikel; W. Mounsey; D. Nazarov; A. Rebelos; C. Sweis STAFF IN ATTENDANCE: Christiane Hayashi – Deputy Director/Council Liaison 1. Call to order: CSweis called the meeting to order at 1:04 p.m. 2. Roll Call – The Roll Call showed a quorum was present. 3. Announcement of prohibition of sound producing devices during the meeting – CSweis made the announcement. 4. Approval of Minutes BKorengold said that his nomination was not mentioned in the minutes. VSiu read the section of the minutes to confirm that his nomination was included and will double check August 30th minutes. LGraham motioned to approve the August 30, 2010 minutes. ARebelos seconded the motion. On motion to approve the August 30, 2010 Minutes. Adopted: AYES: TAjaegbu; JBolig; JGillespie; LGraham; JHan; DHinds; DKhan; BKorengold; JLazar; CMacmurdo; WMinikel; WMounsey; DNazarov; CSweis; ARebelos BKorengold stated that in his comment about taxi wraps advertisements, he asked “where does the money go?” not “where does the information go”? LGraham motioned to approve the September 13, 2010 minutes. ARebelos seconded the motion. On motion to approve the September 13, 2010 Minutes. Adopted: AYES: TAjaegbu; JBolig; JGillespie; LGraham; JHan; DHinds; DKhan; BKorengold; JLazar; CMacmurdo; WMinikel; WMounsey; DNazarov; CSweis; ARebelos No public comment. 5. Public Comment TLee said that people last week were begging for cabs and were waiting too long; there are not enough cabs in the City. He said that our city is booming and suggested that we add three year term medallions to the fleet for use as Gas and Gate only for public convenience. He said the public is disappointed in the taxi industry. MGruberg said this flood of business happens every September and October and it is clear that the industry cannot meet the demand then we get to the slow part of the year and drivers are begging for rides and everyone is going to get hurt if you put out more cabs. He suggested centralized dispatch to improve efficiency and peak time permits during busy times. EHealy is interested in BKorengold’s idea last week about having the public speak after Council members have spoken. He said they could contribute more if the public has heard what Council members have said first. CSweis closed public comment. 6. Report of the Council Liaison (Discussion only) Taxi Medallion Sales Pilot Program Update MHarris, Investigator, SFMTA Taxi Services, gave a report on the Taxi Medallion Sales Pilot Program. RLytle, Vice President of Lending, San Francisco Federal Credit Union, gave a report on the sale of medallions in the Taxi Medallion Sales Pilot Program. Public Comment TLee said this Council should immediately take action to take away the waybill requirement for drivers who want to buy a medallion. He said that a criminal record is important and we must require this for the medallion application. He said if the driver can come up with the money and if the color scheme can provide a letter stating he is an active driver then he should qualify to buy this way medallion transfers can happen faster. He asked if two or three drivers can buy one medallion. MSpain stated that the committee should ask about financing for peak time medallions which could be sold at a lower price. He envisions half of the medallions could go to the individuals and half to the companies. SWatson said he has a CPA on retainer and asked if this professional would be an asset to what they are proposing on the medallions and loans. CRathbone asked if nine of the medallion holders had died during the medallion process. He said that the agency should proceed with the sale even if the medallion holder dies. EHealy said the pilot program was set up to sell medallions for $250k because people like John Lazar would be able to cover the loan and he wondered how people are being forced to go into a long term leasing or owner/driver lease. MHarris stated that three of the five have died and SFMTA does continue with the sale if a medallion holder has already signed a commitment to sell then passes away. RLytle said that they do not tell drivers what type of lease they need to go into. 7. Use of Driver Fund (Discussion and Possible Action) CHayashi, Deputy Director, gave a presentation on the Taxi Wrap Balance. Public Comment TLee stated that the driver fund should help drivers who buy medallions and die the first year they bought it by 75%, second year 50%, third year 25%. MSpain stated that the fund should cover insurance or drivers who are killed on the job. He also agreed that the fund should cover a portion of the A-Card fee. He opposed the Taxi Commission’s recommendation to use the fund on scholarships. He said that the use of the funds to cover a small group of individuals is offensive and the only legitimate use is to use it broadly to cover every member of the industry. MGruberg said the TAC should focus on how this is going to be structured. He recommended putting together a Board of Directors composed of cab drivers to make decisions on how the driver fund should be used. CRathbone said the fund should be allowed to grow before it is dispersed. THousman said that she hoped that the wrap payments have been consistent and wondered if the advertising companies are up to date with their payments. She asked if we were bound by the Taxi Commission’s recommendation to use the scholarship for 75% scholarship and 25% towards drivers. She hopes that the funds remain intact. EHealy said he hopes that the funds go to non-medallion holder cab drivers. He said that the logical thing to do with the wrap fund is to wrap it into the driver fund. DClark suggested that the money should be spent on uninsured motorist coverage and insurance for the driver. CHayashi stated that the Taxi Commission urged the SFMTA to distribute the fund a certain way but it is only a recommendation, it is not binding. DHinds suggested to reevaluate the Taxi Commission recommendation on distribution and to combine all revenues from Taxi Wrap and Driver Fund into one fund. JGilliespie motioned to merge the two funds and any future income will go into the driver’s fund as well. DKhan seconded the motion. On motion to merge the two funds and any future income will go into the driver’s fund. Adopted: AYES: TAjaegbu; JBolig; JGillespie; LGraham; JHan; DHinds; DKhan; BKorengold; JLazar; CMacmurdo; WMinikel; WMounsey; DNazarov; CSweis; ARebelos DKhan asked that MGruberg continue with his public comment. MGruberg said he would send out his documents and that a decision on how to spend the funds is premature. He said to keep in mind that any decision the group makes is only a recommendation for the Board to consider. ARebelos motioned to recommend to the Board that the funds be moved to a managed account so it can grow. WMinikel seconded the motion. On motion to recommend that the driver fund be moved to a managed account that allows the money to grow. Adopted: AYES: TAjaegbu; JBolig; JGillespie; LGraham; JHan; DHinds; DKhan; BKorengold; JLazar; CMacmurdo; WMinikel; WMounsey; DNazarov; CSweis; ARebelos CSweis asked to include the outcome of this recommendation in the next Staff report. BKorengold motioned that the driver fund money benefit non-medallion holding drivers. DKhan seconded the motion. On motion to have the driver fund money benefit non-medallion holding drivers. BKorengold asked to withdraw his motion. BKorengold motioned that the fund primarily be used for non-medallion holding drivers. JHan seconded the motion ARebelos amended that the motion be a resolution. BKorengold agreed. On motion to make a resolution that the money from the driver fund be used primarily for non-medallion holding drivers. Motion Failed: AYES: JHan; DKhan; BKorengold; DNazarov; NAYES: TAjaegbu; JBolig; JGillespie; LGraham; DHinds JLazar; CMacmurdo; WMinikel; WMounsey; ARebelos; CSweis 8. Medallion Sales Pilot Program impact on Color Schemes and Leasing versus Gas and Gate (Discussion and Possible Action) CHayashi Deputy Director, gave a presentation on the impact of the Medallion Sales Pilot Program on Color Schemes and Leasing versus Gas and Gate. CSweis asked for volunteers to write up definitions for long term lease drivers, gas and gate drivers, etc. JGillespie volunteered to write up the definitions. Public Comment TLee stated that a lot of drivers will choose to be affiliated with cab companies so they can get more shifts so this will not affect the company. He said that drivers choose to buy a medallion so they can drive more shifts. MSpain said that most companies have a mixture of gas and gate and long term lease drivers. He said we should focus on service to the public. He does not see why this committee wants to take up the issue to explain the different commitments and said to leave this item alone and take up the issue of service to the public. BMcDowell said he had been driving as a gate and gas driver. He said that nobody would maintain the cab and it was an awful situation so he went into a long term lease with a mechanic and it has been like night and day. He said the cab is kept clean and maintained and it is better for the public. MGruberg said he thinks something valuable will be lost when we move from a gas and gates situation to a long term lease situation. He said from a regulatory stand point this is a nightmare. He said to take the airport records and see who is sitting out in the airport lot. John from San Francisco Paratransit said that most of the passengers are dependent on dispatched calls and asked that the Council keep this in mind as they come up with recommendations. CRathbone said that a vote should not be made today and asked that it be done at the next meeting. EHealy commented on the public not being able to get a cab and said that something should be done about the dispatch service. CNelson said that as a gate and gas driver there is a lot more accountability and as a long term lease you do not have that. RLytle, SFFCU, encouraged the Council to be consistent with the language as this would help finance institutes with the loan process. CSweis continued this item until the next meeting for further discussion. 9. Council Member requests for information. (Discussion only) WMounsey asked that SFMTA Taxi Services enforce the driving requirement. CHayashi provided an update on the requests from the last TAC meeting. Public Comment TLee said that they are making bumpy policies. This is their career and just because they are long term lease it does not mean they are guilty. 10. Schedule upcoming calendar items. (Discussion and Action) CSweis asked to continue Item 8 to the next agenda and the impact of the Medallion Sales Pilot Program on drivers. BKorengold wanted to discuss illegal limos on the next agenda item and wanted to see the impact of the Medallion Sales Pilot Program on the waiting list. CHayashi stated that the next TAC meeting will be on a Tuesday, Oct. 12, 2010, 1:00 p.m. because of the holiday. No public comment. Adjournment: The meeting was adjourned by standing vote at 4:43 p.m.
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