Skip to content.
Skip to page navigation.Skip to content.Web site accessibility
SF MTA homeSF MTA home SF MTA home
Page title as stylized text

memorandum

To: Rules Subcommittee Members

From: Jordanna Thigpen

Date: September 20, 2007

Re: Recommended Rule Changes – September 24, 2007 Agenda

Consideration of various Rules & Regulations is made easier by dividing the agenda into the four sections. Staff has recommendations on each section.

There are also general changes and housekeeping changes that need to take place, such as correcting typographical errors and ensuring that Taxi Commission officers are entitled to inspect documents along with police officers, to assist in the transfer of administrative functions from Taxi Detail. These are minor changes which appear in a variety of rules and do not affect the substance of the rule.

Section 4: Medallion Holders

There are several rules which have been controversial at the Taxi Commission because for years, they were not enforced, but in the recent past, safety concerns have given rise to enforcement.

Rule 4.A.9 provides as follows:

Medallion Holders shall ensure that the taxicab operating under the medallion issued to them begins and ends all shifts at their color scheme’s place of business, except with the approval of the Taxicab Commission or their designee for “formal employee operations.” When the taxicab is not employed, Medallion Holders shall either leave the vehicle at the color scheme’s place of business or at an alternative location approved by the Taxi Detail that is off the public street and sidewalk. Each request for the use of an alternative site must be made in writing. Medallion Holders shall ensure that all waybills, reports, and found property are turned in at the Taxi Company premises at the conclusion of each shift. Waybills shall be retained for a period of three (3) years at the principal place of business.

There are also Rules 5.B.6 and 5.B.7 pertaining to a color scheme’s responsibility to ensure on-property shift-changing.

Rules 4.A.9, 5.B.6, and 5.B.7 were enacted for several reasons. Primarily, these rules protect the medallion holders and drivers who need to change shifts in a secure location. Shift changing off property, without permission and without restriction, leads to dangerous situations. Many medallion holders admit

to shift-changing at their own or their drivers’ residences. This opens them up to robbery, accidents, and other problems. In 2006, a Yellow Cab driver suffered a tragic death when he shift-changed inRichmond , California .

Additionally, these rules were enacted because the Taxi Commission inspects and regulates each color scheme’s place of business. The Taxi Commission can inspect an approved off-site location if necessary, but without a request and granting of permission, there is no control over the location. Safety concerns are paramount.

Recently several medallion holders were admonished for violation of this rule, and a color scheme was also admonished. We have also received many complaints from members of the public about taxicabs parking on the streets overnight and taking up valuable residential parking spaces.

Another issue that arises is that there is a lack of control over business practices when people are allowed to shift-change on other properties. This manifested most recently in the Union Cab case, where rampant violations were occurring along with a relationship between a large color scheme and Union Cab that was made possible in part by shift-changing on Union ’s property.

Staff recommends minor amendments to the above-listed rules – substituting “Taxi Commission” for “Taxi Detail” in each rule – thus requiring that the permission and notification process come only from the Taxi Commission. This is in keeping with the voter mandate that the Taxi Commission continue to assimilate administrative functions from Taxi Detail.

Staff strongly recommends leaving Rules 4.A.9 (and 5.B.6 and 5.B.7) in place with only the minor changes noted and enhancing enforcement of these very important rules.

Rule 4.A.10

Another very important rule is Rule 4.A.10. This rule states as follows:

Unless their taxicab is out of service, all Medallion Holders must drive their own medallion number taxicab when complying with the full time driving requirement provisions of Appendix F, Section 2 (B) of the San Francisco Charter.

There are currently disciplinary cases pending involving this rule and several medallion holders were admonished for violating this rule.

Some medallion holders claim that when they arrive at the lots to fulfill their Proposition K driving requirement, their medallion is not available. Others, however, have made it clear to the company that they will not use that color scheme unless their cab is available. These medallion holders have been in compliance with this rule for years without issue.

This rule is absolutely necessary to ensure appropriate enforcement of safety rules and to track medallion holders’ Proposition K fulfillment. Only medallion holders have the leverage to ensure that the vehicle is properly maintained and in safe condition. Only medallion holders can take their medallion to another company if their requests for safety improvements or regulatory compliance are ignored.

In fact, only Medallion Holders can demand that they receive their own taxicab when they arrive for their regularly scheduled shifts to comply with the driving requirement. Apparently some medallion holders have either not known of this requirement or have ignored it, despite the fact that it has been in the Rules for over a decade. No circumstances have changed since this rule was put into place – apparently backed by sound reasoning. According to Taxi Detail records, this law has been enforced and individuals have been admonished in the past for violations – regardless of what statements may have been made at Taxi Commission hearings.

Thus, staff proposes the following amendment to Rule 4.A.10 (in italics):

Unless their taxicab is out of service and use of a spare has been approved, all Medallion Holders must drive their own medallion number taxicab when complying with the full time driving requirement provisions of Article 16, Municipal Police Code § 1081(f). Shifts driven in another medallion number taxicab will not be counted towards fulfilling the Proposition K driving requirement.

Rule 4.C.1 provides as follows:

Every Medallion Holder and Color Scheme Holder shall limit the layers of medallion or permit leases to three (3) layers (e.g. Medallion Holder to Color Scheme to driver.) No Taxicab Driver may lease a permit or medallion, either on a per shift basis or for any term of time from anyone other than the Medallion Permit Holder or the Color Scheme Company under which the permit or medallion is operating.

This rule also applies verbatim to Color Schemes under Rule 5.K.1.

The Taxi Commission has received reports of various levels of individuals operating vehicles in what is essentially an underground economy, on contracts which are void under the law since they are based on illegality.

Reports abound that medallion holders are leasing to “managers” or “brokers” who then lease to still other individuals who are then leasing to drivers. In other cases, color schemes lease to these managers, who then maintain a roster of drivers.

With multiple lease levels, the regulatory power of the Commission dwindles. Some of the drivers who are involved with these leases end up paying very high gate fees, sometimes in excess of $125. In other cases, regular “gas and gate” drivers are required by these “managers” or “brokers” to provide monies for worker’s compensation, liability insurance, vehicle maintenance, and other expenses which are usually borne by the medallion holder or his color scheme (and which may already be borne by them, resulting in unnecessary double fees and possible illegal insurance “brokering”.) The drivers at the end of the lease line end up bearing the economic burden for the other individuals “affiliated” with a single medallion.

In addition taxi companies are able to absolve themselves of responsibility for managing these permits by claiming lack of control. This further weakens the Commission’s regulatory power over issues of importance such as worker’s compensation.

Staff proposes amending Rules 4.C.1 and 5.K.1 as follows:

Every Medallion Holder and Color Scheme Holder shall ensure that all drivers are operating a permit only under daily “gas and gate” agreements with the Color Scheme with which the permit is associated. No long-term leases, affiliations, or other agreements are permitted. No Taxicab Driver may operate a permit or medallion unless he or she is operating it pursuant to a daily “gas and gates” agreement with a Color Scheme.

Staff proposes amending Rule 6.A.11 as follows:

No Taxicab Driver may operate a permit or medallion, unless such operation is pursuant to a daily “gas and gates” agreement with the Color Scheme with which the permit or medallion is associated.

Section 5: Color Schemes

The Audit Procedure: Current Problems

In the past there has been criticism of the method by which the audit is conducted. In the past, Taxi Detail officers would go to a color scheme and conduct the Proposition K waybill audits in person. Unfortunately, the Taxi Commission does not have the resources to have staff out of the office for so many days. Additionally, original waybills must be preserved as evidence.

There are two methods by which the waybills can be brought to the Taxi Commission offices. Taxi Commission staff can go in person to a color scheme and pick up the boxes of waybills. Or, color schemes can be responsible for bringing them down to Taxi Commission offices.

There have been complaints that waybills have not been returned in a timely manner. Taxi Commission staff will strive to return all waybills within thirty days, except in cases where original waybills must be retained as evidence for the disciplinary process.

A major problem for Taxi Commission staff has been color schemes’ and medallion holders’ presentation of disorganized waybills. In some cases drivers and medallion holders’ waybills have been mixed together, and years have been mixed together. Organizing the waybills by driver and by date wastes Taxi Commission time and resources. Color schemes that do not have their waybills in order should be assessed administrative penalties.

Rule 5.H.10 currently provides:

Every Color Scheme Holder, Medallion Holder, and Taxicab Driver shall use the waybill format as prescribed by the Taxicab Commission or their designee. Color Schemes will devise their own waybill filing system and present waybills to the Taxicab Commission or their designee within twenty-four (24) hours of notification. Pursuant to Section 1121(f) of the San Francisco Police Code, Color Scheme Holders (“Color Schemes”) shall maintain and retain waybill records for no less than six (6) years to document that driving performed by drivers of taxicabs and ramped taxis affiliated with the Color Schemes have met the specific driving requirements mandated by Section 1121(b). Color Schemes shall maintain at minimum the most recent twelve (12) months of waybills in traditional hard-copy format. Color Schemes may store waybills more than twelve (12) months old in a reasonably secure electronic form and/or on a computer storage diskette, and duplicate copies of the electronic record shall be given to drivers for each year of record. Failure of the Color Scheme to comply with the regulations shall not excuse a Permit Applicant from the driving requirement, or relieve a Permit Applicant from the burden of proving that he or she has satisfied the requirement.

Staff proposes amending 5.H.10 as follows (amendments in italics):

…Color Schemes will devise their own waybill filing system and present waybills to the Taxicab Commission or their designee within twenty-four (24) hours of notification. The waybill filing system shall ensure that waybills are organized numerically or alphabetically by medallion holder and by day and month for each medallion holder. Color Schemes who fail to comply with this requirement may be assessed an administrative penalty. The Commission will inspect the waybills and may retain any waybills that are necessary to pursue a disciplinary case. Pursuant to Section 1121(f)…

Currently, Rule 5.H.10 provides that medallion holders shall use the waybill format prescribed by the Taxi Commission (as quoted above) but this Rule is in the Color Scheme Section and not in the Medallion Holder section. Most medallion holders are using the same type of form for their waybills, although the forms vary slightly from company to company. While standardization would be nice, it would likely put the companies to greater expense for what amounts to a minor detail, so a standardized waybill is not recommended at this time. However, the Commission should prescribe that the standard format include a time in/time out stamp from a Taxi Commission-issued mechanical time stamp device or from a computer. Currently only two color schemes use computers.

Companies which do not currently have computerized time stamps should be required to purchase mechanical time stamps, which range in price from $100 to $300, and provide a sample of that time stamp to the Taxi Commission. The Taxi Commission can approve a list of possible vendors for these stamps in the same manner that the security cameras were approved. Companies can notify the Taxi Commission which vendor they have selected when they provide a sample of the time stamp.

Alternatively, and this may be a larger discussion, there is currently technology on the market that provides for biometric (thumbprint) identification to ensure that the medallion holder is actually driving and complying with Proposition K. A sample of such technology is attached to this memorandum; this model sells for about $279. This would provide assurance that medallion holders are actually obeying the law.

Staff also proposes adding the following provision:

Rule 4.A.13: All Medallion Holders shall use the waybill format prescribed by the Taxi Commission or their designee. Waybills shall be completed in indelible ink, and shall include the medallion holder’s signature at the commencement of this shift as well as the “A” card number and total number of hours worked. Waybills shall be time-stamped with the time in and the time out with a Taxi-Commission issued mechanical time stamp device or by a computerized time stamp if permission is granted in writing from the Taxi Commission to use a computerized time stamp. This waybill is to be filed at the Color Scheme Holder’s principal place of business at the conclusion of each shift. Waybills that do not comply with this requirement will not be counted towards the Medallion Holder’s driving requirement.

Section 6: Drivers

As noted above, staff proposes creating an industry-wide gas and gates system to eliminate the problems with brokers, long-term leasing, and rampant fraud.

Staff proposes amending Rule 6.A.11 as follows:

No Taxicab Driver may operate a permit or medallion, unless such operation is pursuant to a daily “gas and gates” agreement with the Color Scheme with which the permit or medallion is associated.

Staff also proposes amending Rule 6.C.8, which is applicable to drivers only, to state as follows (amendments in italics):

Every Taxicab Driver shall use the waybill format as prescribed by the Taxicab Commission or the Commission’s designee. The waybills shall be completed in indelible ink, and shall include the driver’s signature at the commencement of the shift as well as the “A” card number and total number of hours worked. Waybills shall be time-stamped with the time in and the time out with a Taxi Commission-issued mechanical time stamp device or by a computerized time stamp if permission is granted in writing from the Taxi Commission to use a computerized time stamp. This waybill is to be filed at the Color Scheme Holder’s principal place of business at the conclusion of each shift.

Section 7: Training

Members of the disabled community have asked that drivers receive an hour of sensitivity training regarding proper rules of comportment as pertains to serving disabled individuals. All drivers should receive this training because disabled individuals take regular taxicabs as well, particularly with service animals.

Staff recommends that Rule 7.A.1 be amended as follows:

In Accordance with Municipal Police Code § 1147.1, Educational Entities may offer a “Driver Training Course” for new taxicab Drivers after applying for and receiving approval from the Taxicab Commission. All approved entities must follow the below listed course requirements:

a.                   Course length must be a minimum of 29 hours for ramp drivers.

b.                  Course subjects must include:

1.      City Geography – minimum 8 hours

2.      Crime Prevention – minimum 4 hours

3.      Vehicle & Pedestrian Safety – minimum 4 hours

4.      Taxi Rules and Laws – minimum 1 hour

5.      California Vehicle Code – minimum 1 hour

6.      Passenger Relations and Sensitivity Training – minimum 9 hours (includes procedures for transporting persons covered by the American[s] with Disabilities Act)

Section 8: Dispatch

Dispatch standards are something that has been discussed for many years, and a separate hearing on dispatch standards should occur.   

 

Section 9: Ramped Taxis

Many members of the disabled community have complained about the amount of ramped taxis at the airport. Specifically, there are ramps sitting out at the airport for hours rather than serving the disabled community.

Another issue is that there is no way to tell from an audit when, if at all, a ramped driver has picked up a disabled passenger, as very few ramp drivers actually demarcate on their waybill which pickups are ramp pickups. However, they are required to pick up three ramp pickups per day, if available via dispatch.

Staff proposes adding Rule 9.A.9:

All permit holders holding a ramped taxi medallion regulated under Division IIA of Article 16 must fill out a waybill in accordance with MPC § 1138 and must specify which fares are ramp pickups.

Explore:

   
   

Skip bottom navigation and boilerplate text.Begin brief site navigation and boilerplate text.