Long-awaited draft regulations dramatically loosen the rules governing Toronto’s taxi industry and create a separate licensing category to regulate companies such as Uber, according to a staff report released Thursday.
The proposed regulations would create a new licensing regime for Private Transportations Companies (PTCs), that will permit and regulate private vehicles to offer transportation services, such as UberX, the report says.
The taxi industry has predicted the creation of a separate category will lead to the demise of the cab business. Critics wasted no time condemning the proposals.
“We are allowing Uber to get away with murder,” said Councillor Jim Karygiannis, who sits on city’s licensing committee that will first debate the report next week.
Licensing committee chair Cesar Palacio said the regulations do not create a level playing field and tilt in favour of Uber.
"The smartest thing to do at this point is to delve deeply into the report's (recommendations) and understand their effects," Councillor Frank Di Giorgio, who also sits on licensing committee, tweeted. But his initial reaction was that some of the proposals are “distinctly unlevel.”
Councillor Josh Matlow, who also sits on the committee, tweeted that he looked forward to reading the report in its entirety and asking questions before commenting.
Uber Canada had little to say Thursday.
“We will be reviewing the report in depth and meeting with city staff to further understand how the proposed regulations may be implemented,” company spokeswoman Susie Heath said in a statement.
The report prepared by the city’s licensing and standards department says the proposed framework responds to the “public’s request for choice in regulated transportation options.”
The proposals also create an opportunity to “shift from prescriptive regulation” to an approach that will enable “operational flexibility and provide industry participants with an equal opportunity to provide quality service in a competitive market.”
A PTC driver will have to pass “screening criteria” approved by the city’s licensing division, and “provide confirmation that their personal insurance company has been advised that they offer or intend to offer transportation through a PTC,” the report says.
PTC vehicles will be required to carry a minimum $2 million of collision and passenger hazard insurance, and PTCs will be required to carry $5 million of commercial general liability insurance.
Mayor John Tory said in a statement the proposal modernizes the regulation of the ground transportation industry.
“Today we have new regulations that create a level playing field, provide safe, convenient options to our residents and allow drivers to earn a competitive living,” he said.
“Toronto has an opportunity to put the interests of its residents first and create a regulatory environment that protects drivers and allows companies to fairly compete.”
The regulations also look to appease the traditional taxi cab industry by allowing the transfer of lucrative standard plates, reversing years of costly reforms aimed at improving cab safety, passenger experience, availability of accessible cabs and the livelihood for drivers who are often shortchanged.
After the largely pro-taxi licensing and standards committee pushed to return to the old rules that would allow the transfer of standard plates and keep owners happy, Tory argued it would be the “legislative equivalent of sticking our head in the sand.”
In May, council agreed with a move by Tory to defer the decision over licences to a later date.
But the new rules, if approved, would revive standard taxi plates, which is likely to please owners, many of whom are not the primary driver of their cabs, and who have complained what they saw as an investment was being devalued.
Taxi drivers with non-accessible cabs will no longer have to have do initial or refresher training, would no longer need to have a “command of the English language,” or complete CPR and First Aid training to be licensed if the new regulations are approved.
“Due to the emergence of new services within the vehicle-for-hire market, it is to be expected that the economics within the market have changed,” the report says. “These recommendations, resulting from the expansion of the vehicle-for-hire industry, are intended to enable operational flexibility, improve competitiveness, promote the economic health of the city, and maintain the level of regulation appropriate to promote safety and consumer protection.”
The report will be debated at next week’s licensing committee meeting. Council has final approval.
Original Article
Source: thestar.com/
Author: Betsy Powell, Jennifer Pagliaro
The proposed regulations would create a new licensing regime for Private Transportations Companies (PTCs), that will permit and regulate private vehicles to offer transportation services, such as UberX, the report says.
The taxi industry has predicted the creation of a separate category will lead to the demise of the cab business. Critics wasted no time condemning the proposals.
“We are allowing Uber to get away with murder,” said Councillor Jim Karygiannis, who sits on city’s licensing committee that will first debate the report next week.
Licensing committee chair Cesar Palacio said the regulations do not create a level playing field and tilt in favour of Uber.
"The smartest thing to do at this point is to delve deeply into the report's (recommendations) and understand their effects," Councillor Frank Di Giorgio, who also sits on licensing committee, tweeted. But his initial reaction was that some of the proposals are “distinctly unlevel.”
Councillor Josh Matlow, who also sits on the committee, tweeted that he looked forward to reading the report in its entirety and asking questions before commenting.
Uber Canada had little to say Thursday.
“We will be reviewing the report in depth and meeting with city staff to further understand how the proposed regulations may be implemented,” company spokeswoman Susie Heath said in a statement.
The report prepared by the city’s licensing and standards department says the proposed framework responds to the “public’s request for choice in regulated transportation options.”
The proposals also create an opportunity to “shift from prescriptive regulation” to an approach that will enable “operational flexibility and provide industry participants with an equal opportunity to provide quality service in a competitive market.”
A PTC driver will have to pass “screening criteria” approved by the city’s licensing division, and “provide confirmation that their personal insurance company has been advised that they offer or intend to offer transportation through a PTC,” the report says.
PTC vehicles will be required to carry a minimum $2 million of collision and passenger hazard insurance, and PTCs will be required to carry $5 million of commercial general liability insurance.
Mayor John Tory said in a statement the proposal modernizes the regulation of the ground transportation industry.
“Today we have new regulations that create a level playing field, provide safe, convenient options to our residents and allow drivers to earn a competitive living,” he said.
“Toronto has an opportunity to put the interests of its residents first and create a regulatory environment that protects drivers and allows companies to fairly compete.”
The regulations also look to appease the traditional taxi cab industry by allowing the transfer of lucrative standard plates, reversing years of costly reforms aimed at improving cab safety, passenger experience, availability of accessible cabs and the livelihood for drivers who are often shortchanged.
After the largely pro-taxi licensing and standards committee pushed to return to the old rules that would allow the transfer of standard plates and keep owners happy, Tory argued it would be the “legislative equivalent of sticking our head in the sand.”
In May, council agreed with a move by Tory to defer the decision over licences to a later date.
But the new rules, if approved, would revive standard taxi plates, which is likely to please owners, many of whom are not the primary driver of their cabs, and who have complained what they saw as an investment was being devalued.
Taxi drivers with non-accessible cabs will no longer have to have do initial or refresher training, would no longer need to have a “command of the English language,” or complete CPR and First Aid training to be licensed if the new regulations are approved.
“Due to the emergence of new services within the vehicle-for-hire market, it is to be expected that the economics within the market have changed,” the report says. “These recommendations, resulting from the expansion of the vehicle-for-hire industry, are intended to enable operational flexibility, improve competitiveness, promote the economic health of the city, and maintain the level of regulation appropriate to promote safety and consumer protection.”
The report will be debated at next week’s licensing committee meeting. Council has final approval.
Original Article
Source: thestar.com/
Author: Betsy Powell, Jennifer Pagliaro
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