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CR 93-82 Town Taxicab Rates ~(p~ 26; 1993 Council Report 93-82 ~ TOWN TAXI TAXICAB RATES Proposed Action Staff recommends that the Council approve the following motion: Move to approve resolution 93-47 authorizing Town Taxi to increase its taxicab rates. Direct staff to amend City Code section 1110,09 removing requirement to approve fare increases and adding language that fares shall not exceed those authorized by the City of Minneapolis. This motion would allow Triad Transportation, Inc., dBA Town Taxi to bring their rates in Hopkins in conformance with the rates that they charge in Minneapolis and surrounding communities. This action would also get the City out of the business of regulating the fares of taxicab companies. Overview Triad Transportation, Inc., dBA Town Taxi, has sent the City a letter requesting that they be allowed to raise their taxicab rates. City code section lllO.09 requires that the City Council approve any proposed taxicab fare increase by resolution. The City does not have any criteria for judging what are appropriate charges except to survey what other cities are doing. Primary Issues to Consider Can the City regulate taxi fares? See Page 2. What have other cities approved? See Page 2. Supportin2 Information . Resolution #93-47 Letter from Triad Transportation. // )... '.>/ .._<,:~/~f " / ?//~:,/ />?/. ;' c< ,., , / ,f:~{.,f(J./AA':\ Jam~rA. Genellie /' /~ssistant City Manager ;:/ ! Council Report #93-82 Page 2. Primary Issues to Consider Can the City regulate taxi fares? The League of Minnesota Cities' handbook states: "The power to license and regulate taxicabs carries with it the power to regulate taxi fares wherever the public interest is involved. This rule arises out of the special use taxicabs make of public streets". What have other cities approved? The cities of Minneapolis, St. Louis Park, and Minnetonka have approved the increase. The City of Edina does not regulate rates. The City of Golden Valley has an ordinance that states that fares shall not exceed those authorized by the City of Minneapolis. Alternatives 1. Approve resolution 93-47 authorizing Town Taxi to increase its taxicab rates. Direct staff to amend City Code section 1110.09 removing requirement to approve fare increases and adding language that fares shall not exceed those authorized by the City of Minneapolis. 2. Approve resolution number 93-47 authorizing Town Taxi to increase its taxicab rates. Do not make any change to the City Code. This action would approve the increase. It would also require the City Council to approve any future increases. 3. Do not approve resolution number 93-47. This would not allow Town Taxi to raise its rates in Hopkins. Justification for refusing the increase should be provided. Staff recommends Alternative number 1. ~ CITY OF HOPKINS Hennepin County, Minnesota RESOLUTION NO. 93-47 WHEREAS, the Hopkins City Code Section 1110.09 authorizes the City to approve taxicab fare increases by resolution, and WHEREAS, Triad Transportation, Inc., dBA Town Taxi, has requested that the City approve their increased taxicab fares, NOW THEREFORE BE IT RESOLVED, that the City Council of the City of Hopkins hereby authorizes Triad Transportation, Inc., dBA Town Taxi to charge the following rates: . $1.75 flag drop charge $1.30 per mile $18 per hour wait time Adopted by the City Council of the City of Hopkins this first day of June, 1993. By Nelson W. Berg, Mayor ATTEST: James A. Genellie, City Clerk . " ~ V' TRIAD TRANSPORTATION, INC. 2500 Washington Ave., N. . Suite 101 Minneapolis, Minnesota 55411 612-521-4444 FAX: 612-522-1884 May 12, 1993 Mr. James Genellie City Clerk City of Hopkins 1010 1st. St. South Hopkins, MN 55343 Dear Mr Genellie: This is to request your approval to raise taxicab rates for T &F Transportation, Inc. dBA Town Taxi from: to: $1.25 flag drop charge $1.75 flag drop charge $1.20 per mile $1.30 per mile $15 per hour wait time $18 per hour wait time. The proposed rates were developed and approved by the City of Minneapolis and were put in effect on April 1, 1993. The new rates were carefully evaluated against the rapidly rising cost base for taxicabs since the last increase in 1988. Triad Transportation, Inc., the dispatch company for Town Taxi's, participated in the analysis and believes the new rates to be equitable and necessary to support a quality taxi service. We believe these rates should apply to the suburbs using the same justification as was used in the City -- to offset rising costs of operation and to insure a quality service can be offered. Thank you in advance for your consideration. Sincerely, .A' /' #'2 . ."t!;;/~:.. <' ,-,,,/1;.;. 1f!' ...)~ . <~"'"-':"-';~~;'~{~~~~~:;i,Z;2(~:~~ ~sil LWissner /President ~~.. ~ . /p.. ..MIER rJoum rJa;rj ~t=- CAB