BILL ANALYSIS Ó
AB 2790
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Date of Hearing: April 18, 2016
ASSEMBLY COMMITTEE ON TRANSPORTATION
Jim Frazier, Chair
AB 2790
(Nazarian) - As Amended April 13, 2016
SUBJECT: Taxicab drivers: study: licensure
SUMMARY: Requires the California Research Bureau (CRB) conduct
a study, on or before September 1, 2017, on the necessity and
feasibility of licensure for taxicab drivers.
EXISTING LAW:
1)Requires every city or county to protect the public health,
safety, and welfare by adopting an ordinance or resolution in
regard to taxicab transportation service rendered in vehicles
designed for carrying not more than eight persons, excluding
the driver, which is operated within the jurisdiction of the
city or county.
2)Requires each city or county to provide for, at minimum, the
following:
a) A policy for entry into the business of providing
taxicab transportation services, including, but not limited
to:
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i) Employment, or an offer of employment, as a taxicab
driver in the jurisdiction, including compliance with a
mandatory controlled substance and alcohol testing
certification program;
ii) The driver's permit becomes void upon termination of
employment;
iii) The drivers permit states the name of the employer;
and,
iv) The employer notifies the city or county upon
termination of employment.
a) The establishment or registration of rates for the
provision of taxicab transportation services; and,
b) A mandatory controlled substance and alcohol testing
certification program, as specified.
1)Authorizes each city or county to levy service charges, fees,
or assessments in an amount sufficient to pay for the costs of
carrying out an ordinance or resolution adopted in regard to
taxicab transportation services.
2)Permits a transportation inspector, authorized by a local
government to cite any person for operating as a taxicab
without a valid certificate, license or permit, required by
any ordinance, to impound and retain possession of any vehicle
used in violation of the ordinance.
3)Requires every taxicab transportation service to include the
number of its certificate, license, or permit in every written
or oral advertisement of the services it offers.
4)Permits a city or county to adopt additional requirements for
a taxicab to operate in its jurisdiction.
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5)Provides for the licensure and regulation of various
professions and vocations by boards and commissions within the
Department of Consumer Affairs.
FISCAL EFFECT: Unknown
COMMENTS: Under current law, taxicab businesses and taxicab
drivers are regulated through various local ordinances. Each
local jurisdiction can and does create its own requirements for
taxis to operate, unlike other models of passenger carriers, who
are regulated under one statewide requirement, established by
the Public Utilities Commission (CPUC). Existing law requires
cities and counties to protect the public health, safety, and
welfare by adopting an ordinance or resolution in regard to
taxicab transportation services. Each ordinance or resolution
must include a policy for entry into the business of providing
taxicab services, the establishment or registration of rates,
and a mandatory controlled substance and alcohol testing
certification program.
Local jurisdictions may include additional requirements for
taxicab businesses and drivers, many of which do. For example,
the San Francisco Municipal Transportation Agency requires a
taxicab driver to be a legal resident, maintain personal
hygiene, be free of disease, possess a current California
driver's license, be 21 years of age, speak, read and write
English, get fingerprinted, attend and complete a taxi school
training program, have an offer from a taxi company to drive,
and pay an application fee. In the City of Los Angeles, an
applicant for a taxicab driver license must be sponsored by one
of the city's franchised taxicab companies, provide a driving
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history record, pass an examination, and pay a fee.
Because cities regulate the number of taxis permitted in each
jurisdiction, the number of taxicab drivers varies by location.
The Bureau of Labor Statistics reports that there are just over
13,000 taxicab and chauffer drivers in California.
This bill would require the CRB to conduct a study, on or before
September 1, 2017, on the necessity and feasibility of licensure
for taxicab drivers in order to inform the Legislature on the
topic of substituting statewide regulation for various local
ordinances.
The author identifies other types of commercial carriers
regulated by the state, including transportation network
companies, limousines, and shuttles, and argues that these
business models are similar to taxis, but they are licensed and
regulated by CPUC and benefit from consistent and statewide
operating standards, while taxis are not.
According to the author, "the recent expansion of
technology-enable transportation services has questioned the way
California incorporates regulatory frameworks across all sectors
of the transportation industry," including taxis.
By collecting information through a study of the necessity and
feasibility of statewide licensure for taxicab drivers, the
author intends to provide the basis for future Legislative
action in this field.
It is unclear if legislation is necessary to request the
California Research Bureau to conduct such a study.
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Double referral: This bill passed out of the Assembly Business
and Professions Committee on April 12, 2016, with a 12-2 vote.
REGISTERED SUPPORT / OPPOSITION:
Support
None on file
Opposition
None on file
Analysis Prepared by:Justin Behrens / TRANS. / (916) 319-2093
AB 2790
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