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📢 Drivers NEED To Testify On April 19th (Part 1)
TLC Zoom hearing at 10am on Wednesday, April 19th, shouldn't be ignored. We break down proposals - from Dollar Vans to DMV & TLC points. Part 1 focuses on Commuter Vans & "Persistent Violator Program"
The agenda of the NYC Taxi & Limousine Commission hearing on Wednesday, April 19th at 10am might seem very technical. We know many TLC drivers & other industry participants will not testify because of this.
🎤 We think it’s actually VERY IMPORTANT to testify and make your voices heard as this is a hearing where policy suggestions can be questioned, it’s NOT a vote.
To help facilitate more testimony we have, to the best of our current abilities, summarized the main agenda items of the hearing over a two part piece (there’s a lot to digest). We’ve also suggested topics & questions to help encourage testimony.
Commuter Van & Paratransit Industry
When you read the proposed TLC Rules amendments that will be discussed on April 19th, it’s a good reminder that the Taxi & Limousine Commission regulates NYC’s Commuter Van & Paratransit markets.
In fact, two chapters (Chapters 56 & 57) of the TLC Rules & Local Laws are dedicated to Commuter Van & Paratransit drivers.
The Commuter Van & Paratransit industries require a different drivers license vs other NYC for-hire transport drivers (a/k/a TLC-licensed drivers). For example, to drive in the NYC Commuter Van or Paratransit markets one needs a New York State DMV Chauffeur's License (Class A, B, or C, often known as CDL licenses). Most TLC Drivers’ DMV License Class is Class E.
Obtaining a Class A, B or C DMV License (CDL) has more involved administration and testing than simply changing a standard Class D to a Class E DMV License. That being said, NYC TLC-licensed drivers also have to go through the administration of obtaining a separate TLC Drivers License.
There are also other differences than just the drivers licenses, but we’ll write a more detailed article related to the “Dollar Van” (Commuter Van) industry and some interesting proposals being suggested to help revive the market 🚌. For example, Dollar Vans want the ability to legally accept street hails in the outer boroughs like yellow or green cabs 🚕👋!
Right now, ahead of the April 19th hearing, it’s helpful if TLC-licensed drivers understood some high level background about what’s going on in the NYC Commuter Van market. After all, Dollar Vans operate in the same marketplace & share the same regulator.
We checked the TLC insurance database and this is what we found out:
There are 25 insured TLC licensed “Commuter Vans”
As recently as 2021, there were ~100 Commuter Vans
These vans DO NOT have the T[123456]C license format
Commuter Van plates often read [12345]BB, BT, BA or LV
The vans DO have FHV License numbers, similar to other TLC-plated vehicles
There are 71 Paratransit-qualified vehicles in the TLC insurance database and their DMV vehicle plates have the standard T[123456]C format
According to The City reporting, there are issues around the rise of unlicensed vans that can unfairly operate at lower cost. In addition and related to competition from unlicensed vehicles, it appears very expensive insurance costs have absolutely crushed the Commuter (Dollar Van) industry (see short video below 👇).
“The rates are exorbitant, up to $40,000 per vehicle, and we can’t do business under such rates”
- Hector Ricketts, President of the Commuter Van Association of New York
“The 2023 state budget includes $11 million in funding for a new Commuter Van Stabilization program, which is designed to subsidize driver insurance rates.”
- The City
Persistent Violator Program & DMV / TLC Points
At the April 19th hearing, the TLC is proposing rules amendments to officially replace two separate programs that tracked the number of TLC & DMV points drivers have, with one program: the Persistent Violator Program.
How this primarily changes the rules can be found in TLC Rules Chapters 51 (Definitions), 56 (Paratransit Drivers), 57 (Commuter Van Drivers) and 80 (Medallion Taxicab, SHL and For-Hire Drivers).
Given two programs, one covering DMV points and the other covering TLC points, are now becoming one, it makes sense there will be a changes in Chapter 51 - Definitions. Chapters 56 & 57 relate to Commuter Van & Paratransit drivers.
Chapter 80 is where TLC-licensed drivers can find what the current rules & regulations are regarding DMV & TLC points for TLC-licensed drivers. In addition, this Chapter is where amendments are being proposed.
Note, from our understanding, the actual number of DMV & TLC points a driver can accrue before getting their license(s) suspended, revoked or banned is NOT changing. Two programs are just technically being combined.
Let’s quickly overview what the basic (current) rules are.
😓 30 DAY SUSPENSION
If a TLC driver has accrued at least 6, but fewer than 10 combined DMV and/or TLC points in a 15 month period, their TLC Drivers License can be suspended for up to 30 days
😥 REVOCATION / SUSPENSION
If a TLC driver has accrued more than 10 combined DMV and/or TLC points in a 15 month period, their TLC Drivers License can be revoked
We think the April 19th hearing is a good time to get clarity about the rules and the exact power of the TLC regarding licensing.
For example, in Chapter §80-08 - Licensing - Process and Causes for Denial of License, note the following language using the word “discretion”, or the freedom to decide what should be done in a particular situation.
TLC Drivers should also use this time to understand the several (Note: in our view most are legitimate) reasons a driver can be banned for one or three years and what the appeals process looks like. This is found in Chapter §80-08 - Licensing - Process and Causes for Denial of License. For example, if a driver is involved in three collisions within a single year or is charged with the unlicensed operation of a motor vehicle, they can be banned for one year at the TLC Chairperson’s discretion.
Other proposed amendments on April 19th highlight other rules that confirm TLC Chairperson or Commission discretion. This language appears ambiguous to us.
We understand the TLC’s mandate and important role in also protecting the public ✅. We also think it’s important for drivers to understand their obligations and rights.
TLC Drivers should use this opportunity to get public & recorded statements from the TLC Chair & Commission.
Finally, other rules amendments being proposed to Chapter 80 relate to how TLC drivers can reduce points through a Defensive Driving or Point Reduction course.
Suggestions For Testimony & Questions - Commuter Van & Paratransit Drivers
Since this is not our area of expertise and the industry has unique dynamics, most of our testimony/question(s) suggestions would revolve around a few topics, which actually relate to trip demand and the viability of the industry.
What is the TLC and/or other enforcement agencies doing about tracking & penalizing unlicensed Commuter Van activity?
Could the TLC confirm its commitment to bringing for-hire vehicle supply and passenger trip volume into better balance?
The issuance of 1,000 *new* FHV Licenses is increasing NYC for-hire vehicle supply at a time where trip demand flowing to the Commuter Van market is still suffering
The cost of insurance seems like an area that might be better addressed through New York State legislators or New York City Council members.
Suggestions For Testimony - All TLC-Licensed Drivers
We’ve already suggested some testimony/question(s) for all TLC-licensed drivers above (e.g., questions about the meaning and power of the TLC Chairperson’s or TLC Commission’s “discretion”), but include some additional thoughts below.
Could the TLC please confirm that DMV & TLC point thresholds for license suspension and revocation are not changing?
Could the TLC please provide easily accessible and understandable information related to how many drivers had their license suspended related to the Persistent Violator Program (or equivalent predecessor programs)?
Could the TLC please explain the appeals process for the Persistent Violator Program? Timeline? Costs?
Look out for Part 2 later this week!
As always, let us know your thoughts in the comments section below or by emailing us at info@automarketplace.com.
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