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βΏπ€·ββοΈ TLC Abandons TIF Hack-Up Payment Increase, Citing Lawsuit
After two public hearings, TLC abandons medallion owner TIF payment increase, citing lawsuit. Tomorrow's TLC Board meeting will focus on other WAV proposals. What is going on?
NYC TLC will hold a Board meeting (not public hearing) tomorrow at 10am
Meeting will focus on voting for new rules related to ability to hack-up pre-owned wheelchair accessible vehicles (WAVs) and streamlining WAV rules across all FHV sectors
Notably, TLC has indefinitely delayed enacting policy to increase financial payments (βTIF paymentsβ) to medallion owners for hacking up WAVs
Tomorrowβs NYC Taxi & Limousine Commission Board meeting at 10am (not public hearing) was supposed to be a cause for celebration π in the yellow cab industry. Taxi medallion owners were expecting new rules around increasing payments to hack-up wheelchair accessible vehicles (WAVs) to be presented and passed by the TLC Board of Commissioners.
Instead, such proposals are being shelved altogether βΏπ€·ββοΈ.
Once again, the NYC for-hire transportation industry finds itself facing another regulatory surprise announcement (not in a good way). After two public hearings, one last November and one this May, related to a much needed and delayed increase to Taxi Improvement Fund (TIF) hack-up payments to help taxi medallion owners purchase and maintain increasingly costly WAVs, like the Toyota Sienna, the TLC is now saying:
βHowever, due to the ongoing federal litigation in the Taxis for All Campaign, Inc., et al. v. New York City Taxi and Limousine Commission, et. al., the TLC has determined that it is not currently feasible to increase the allocation of the TIF fees to medallion owners and drivers for initial hack-up and operational payment subsidies. TLC may re-examine the possibility of a potential increase in TIF subsidies at a later date.β
- NYC TLC Statement of Basis And Purpose Of Rule (TLC Commission Meeting, June 12, 2024)
Here We Go Againβ¦
We really donβt want to make this publication anti-TLC. In fact, as weβve stated several times, we actually want the TLC, the worldβs most important and prestigious for-hire transportation regulator, to succeed! What does that look like you might ask? π€
You canβt please everyone all the time, but you also canβt upset or disappoint too many people, too much of the time. From Uber driver βlockoutsβ to the addition of thousands of new for-hire vehicles (TLC Plates) to lawsuits to now not increasing TIF hack-up payments - a lot of people and companies are not feeling great about the TLC these days. Donβt believe us? Ask around.
Just yesterday we were texting a driver about some market technicalities and their final reply was βI hope the TLC gets dissolved soonβ. π
Success is earning the respect of NYC for-hire transportation (TLC) drivers and other industry participants. Respect doesnβt mean acquiescence, it means drivers and other market players understand youβre trying your best to be balanced. Youβre trying to be βfairβ, if you will. They see and judge this via tone, language, policymaking, face-to-face office and officer interactions, during phone calls, email responses, using TLCβs website, etc. etc.
By succeeding in establishing a trust, the TLC can help create and maintain a dynamic marketplace. A marketplace people and businesses want to be part of, a marketplace other cities want to emulate, a marketplace that New Yorkers are proud to be part of.
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What can we even say to the indefinitely delayed TIF hack-up payment disclosure above, except that it will disappoint many people, especially struggling individual yellow cab driver-owners and taxi fleets / garages. All of them have been desperately trying to stage a comeback.
Taxis For All Lawsuit
The Taxis For All Campaign v. NYC Taxi and Limousine Commission (TLC) relates to motion to enforce a 2013 wheelchair accessible settlement agreement that required the TLC to make the yellow medallion taxi fleet 50% wheelchair accessible by the end of 2020.
The TLC actually references this settlement in its βStatement of Basis and Purpose of Ruleβ ahead of tomorrowβs meeting.
βThe TLC is promulgating rules that will take proactive steps to facilitate the agencyβs long-term commitment to accessibility for all New Yorkers. Due to the financial state of the medallion industry over the last several years, which was aggravated by the pandemic, coupled with the TLCβs mandate to have 50% of the medallion fleet comprised of Wheelchair Accessible Vehicles, it is incumbent upon the TLC to ensure the continued commitment to accessibility.β
- NYC TLC Statement of Basis And Purpose Of Rule (TLC Commission Meeting, June 12, 2024)
After effectively getting an extension to meet the 50% yellow cab WAV mandate due the pandemic, the TLC is still not in compliance with the settlement terms. Notably, the TLC recently made the argument that its compliance is no longer reasonable or needed, to which a federal judge is reported to have not responded well to.
However, weβre still having a hard time following why the above lawsuit would prevent previously discussed TIF hack-up payments from increasing? This proposal has been the subject of two public hearings and comments since November 2023. Weβre almost positive the Taxis for All Campaign would not be against a proposal thatβs increasing financial incentives for taxi medallion owners to convert their vehicles to WAVs π€·ββοΈ.
Perhaps there is some technical legal explanation or gamesmanship going on, but (to reiterate) the news will be very disappointing to many taxi medallion owners and drivers.
Not All Bad Newsβ¦
Just to end on a positive note, the TLC will vote on, and presumably pass, new rules that would provide more flexibility for taxi medallion owners re. hacking-up WAVs. Notably, the TLC will vote on, among other things, rules to eliminate vehicle retirement dates for new and used WAVs placed into service. TLC drivers might also want to note the new WAV training course requirements as well.
Here's a guess, as why TLC eliminated the tiff increase, Because , a judge MIGHT rule all future hack ups be accessible , TLC is not in compliance with the disability settlement , this could create a tif payment shortage , , not enough money to increase the tif payment