11/14/1990 Meeting - Laserfiche WebLink

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Greta Utecht, Planning and Development Department, gave the staff report. e She said that Eugene and Springfield staff have jointly developed a proposal for a metropolitan system for regulating public passenger vehicles. Under the recommendations, companies would require a business license, vehicles would require a permit, and drivers would require certification. The propos- al has been crafted in response to concerns that some companies may be oper- ating without adequate insurance, placing customers at risk, and issues con- cerning vehicle safety, driving practices, and rates charged to passengers. Ms. Utecht said that two industry forums have been held on the proposed ordi- nance. Most of the concerns will center around the proposed fee, the insur- ance requirements, and the vehicle inspection requirements. The proposed fees for business and vehicles are set at 100 percent of the cost of issuance and administration; the proposed fees for drivers are set at 58 percent of that cost. She stated that insurance requirements are placed at the State tort level, which is $500,000. This could cost the operators between $3,500 and $5,000 per vehicle annually. Ms. Utecht cautioned that if the City li- censed a company whose vehicle's insurance was under the State tort level for insurance, the City could be held liable for the difference. Ms. Utecht said that recognizing the burden which will be placed on opera- tors, the City has attempted to provide relief to them in a number of ways, including a temporary certification process and instituting a cap on the total number of companies which can be licensed in the area. In response to a question from Mayor Miller, Ms. Utecht said that the City e cannot levy business licenses against any company located outside the city limits, unless that company is picking up. Ms. Bascom asked about the reasoning behind recommending a cap on the number of vehicle operators. Ms. Utecht explained that vehicle operators felt that the number of companies is already at the upper limit of capacity for the current population density. Mr. Nicholson argued against placing a cap on the number of operators, noting that the industry should and would be self-regulating. Mr. Rutan requested additional information on how the proposed licensing fees relate to the gross volume of operation for an average business and an esti- mate of the projected impact on vehicle operators. Ms. Utecht noted that the type of information requested is difficult to retrieve because the City has no authority to request that information from the operators. Mr. Rutan voiced concern that some of the proposed regulations go too far. For instance, he expressed opposition to instituting a color requirement. Ms. Utecht explained that the color requirement has been requested by the Department of Public Safety to help aid in easy recognition of each cab com- pany's vehicles. The meeting adjourned at 1:40 p.m. e MINUTES--Eugene City Council November 14, 1990 Page 10