HomeMy WebLinkAboutOrdinance 7897 ORDINANCE NO.
AN ORDINANCE AMENDING ARTICLE I, TAXICABS,
CHAPTER 34, TAXIS, BUSSES AND OTHER VEHICLES
FOR HIRE, OF THE CODE OF THE CITY OF FORT
WORTH, TEXAS (1964) , AS AMENDED, BY ADDING
SECTION 34-8A WHICH PROVIDES FOR THE MONI-
TORING OF A PERMIT HOLDERS OPERATIONS AND
THE ESTABLISHMENT OF SERVICE STANDARDS; BY
REPEALING SECTION 34-9 AND ENACTING IN LIEU
THEREOF A NEW REWORDED SECTION 34-9 WHICH
CHANGES THE METHOD OF PAYMENT OF "TAXICAB
STREET-RENTALS" TO THE CITY; BY AMENDING
AND RE-WORDING SECTIONS 34-10 AND 34-11
TO DESCRIBE METHODS OF RECORDS AND PAYMENTS;
BY REPEALING SECTIONS 34-12 AND ENACTING IN
LIEU THEREOF A NEW SCHEDULE OF TAXICAB RATES
INCREASING BY FORTY CENTS THE MAXIMUM INITIAL
MILEAGE PRICE TO BE CHARGED BY ALL TAXICAB
OPERATORS IN THE CITY: PROVIDING A SEVERABILITY
CLAUSE; MAKING THIS ORDINANCE CUMULATIVE OF
OTHER ORDINANCES WITH RESPECT TO TAXICAB RATES;
REPEALING ALL ORDINANCES OR PARTS OF ORDINANCES
IN CONFLICT HEREWITH; PROVIDING A PENALTY; AND
PROVIDING AN EFFECTIVE DATE.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
FORT WORTH, TEXAS:
SECTION 1.
That Chapter 34, Taxis, Busses and Other Vehicles
for Hire, of the Code of the City of Fort Worth, Texas
(1964) , as amended, Article I, Taxicabs, is amended as
follows:
A.
By adding another Section following Section 34-8
which shall be and read as follows:
"Section 34-BA Monitoring of levels of service.
"All aspects of a permit holder's operations
will be monitored and evaluated continually by the
Public Utilities Supervisor or his authorized rep-
resentative. The Public Utilities Supervisor shall
establish level of service standards for taxi ser-
vice and shall be solely responsible for determining
whether the level of service provided by a permit
holder meets the required standards. Upon such occa-
sions, if any, on which the Public Utilities Super-
visor questions the level of service delivered by the
permit holder, the following procedures will be fol-
lowed:
"(a) Investigation by the Public Utilities Super-
visor of circumstances surrounding the occur-
rence,
"(b) Determination of permit holder's negligence,
if an-•/,-
"(c) Written notice to the permit holder citing the
instances of failure to meet the required stan-
dards of service; and
"(d) A three-week maximum time period during which
the permit holder may correct the service de-
fiency before action is taken to suspend and/
or revoke the permit holder's franchise pursuant
to Section 34-8 of the Code of the City of Fort
Worth (1964) , as amended. "
B.
By repealing Section 34-9 and substituting a new
section designated Section 34-9, which new section
shall hereafter be and read as follows:
"Sec. 34-9. Same -- Fee; when fee payable.
"As compensation or rental or license fee for the
privilege of operating upon and using the pu'..I.lic streets,
alleys and thoroughfares of the City in conducting and
carrying on the business of transporting passengers for
compensation on and over such streets and thoroughfares
in taxicabs, each holder of a privilege or grant made
under the terms of this chapter shall pay to the City
an annual "Street Rental" fee amounting to One and one-
quarter dollars ($1.25) per cab per month, to be paid
to the City of Fort Worth at the office of the Public
Utilities Supervisor in quarterly payments due and pay-
able before April 1, June 1, October 1, and January 1,
of each year, and shall be based upon the highest number
of cabs in service in any of the three months of the
immediately preceding calendar quarter.
"The fees provided for herein shall be in lieu of
all other fees to be paid by taxicab operators under or
imposed by any other ordiance now in force, but shall
not be construed to be in lieu of any validly assessed
ad valorem taxes. "
C.
By repealing Section 34-10 and substituting a new
section designated Section 34-10 which new section
shall hereafter be and read as follows:
"Sec. 34-10. Records required -- quarterly
payment report.
- 2 -
"Each holder of a franchise or grant or privilege
shall file with the Public Utilities Supervisor a sworn
statement, together with the quarterly payment, attesting
to the number of cabs in service each month in that cal-
endar quarter for which payment is being made. A sample
calculation follows:
July 66 cabs Fee to be paid upon:
August 68 cabs 3 (months) x $1.25 (fee)
September 70 cabs x 70 (highest number)
3xl.25x70 = $262.50"
D.
By repealing Section 34-11 and substituting a new section
designated Section 34-11, which new section shall here-
after be and read as follows:
"Sec. 34-11. Suspension of Privilege for failure
to make report or to pay fee.
"Upon report to the City Council of the failure
of any privilege holder to file with the Public Utilities
Supervisor the quarterly fee and a sworn statement show-
ing the number of cabs in service each month comprising
the calendar quarter for which payment is being made,
such payment and report being due and payable no later
than the 1st days of April, July, October and December
of each year for the immediately preceding calendar
quarter, and upon report to the City Council of a fail-
ure of any holder of a grant of privilege to pay the pre-
scribed street rental fee, the City Council may, by ordi-
nance, suspend the privilege of the person, firm or cor-
poration in default and such suspension shall continue
to be in full force and effect until it shall be reported
to the City Council at a regular meeting that such omi-
sion or default has been corrected. "
E.
By repealing Section 34-12 and substituting a new section
designated Section 34-12, which new section shall hereafter
be and read as follows :
"Sec. 34-12. Rates enumerated; posting.
"The maximum price to be charged by all taxicab
operators in the City, which prices are hereby declared
fair and reasonable for such services, shall be as fol-
lows:
"One dollar and thirty cents ($1.30) for the first
one-quarter mile (1/4) or fraction thereof traveled.
- 3 -
"Twenty cents ($0.20) for each additional one quarter
mile (1/4) or fraction thereof after the first one quarter
mile (1/4) traveled;
"An additional fifty cents ($0.50) for each additional
passenger beyond the original passenger carried except
there shall be no charge made if such passenger is a child
under twelve (12) years of age.
"Twenty cents ($0.20) for each one and one-half(1-1/2)
minutes of waiting time or traffic delay time, or each addi-
tional fraction thereof, or eight dollars ($8.00) per hour;
and
"Eight dollars ($8.00) per hour for traveling time
on special trips or sightseeing tours.
"There shall be no additional charge made for ordinary
luggage or ordinary bags or ordianry parcels being carried
by such passenger or passengers. It shall be unlawful for
any driver of a taxicab to demand or receive a fee or charge
for taxicab service in excess of the rates above specified.
However, nothing herein contained shall be construed as
requiring a taxicab to carry trunks, very large packages,
very large parcels or articles or objects likely to injure
or damage the taxicab, it being the intent hereof that there
be no additional charge made for any ordinary parcels or
baggage.
"Each taxicab operated on the streets shall have
affixed thereto at a location in plain view of any pass-
enger therein, a placard setting out the maximum legal
rates for taxicab service, as hereinabove provided, and
such legal rates shall be so shown as to be readily visible
to and legible by any occupant of such taxicab. "
SECTION 2.
That this ordinance shall be and is hereby declared to be
cumulative of all provisions of the Code of the City of Fort
Worth, Texas (1964) , as amended, with respect to taxicab rates,
except in those instances where the provisions of this ordinance
are in direct conflict with such Code, in which instances said
conflicting provisions of such Code are hereby repealed.
SECTION 3.
That any driver of a taxicab who demands or received a fee
or charge for taxicab services in excess of the rates specified
4 -
in Section 34-12, as hereinabove amended, Article I, Chapter
34 of the Code of the City of Fort Worth, Texas (1964) , as
amended, shall be punished by a fine not to exceed Two Hun-
dred Dollars ($200.00) , and each violation thereof shall be
and is hereby declared to be a distinct and separate offense
and punishable as such.
SECTION 4.
That the terms and provisions of this ordinance are sev-
erable and shall be governed by Section 1-4 of Chapter 1 of
the Code of the City of Fort Worth, Texas (1964) , as amended.
SECTION 5.
That this ordinance shall be in full force and effect
from and after the date of its passage and publication as
required by law.
APPROVED AS TO FORM AND LEGALITY:
ity• ttorney
ADOPTED-
EFFECTIVE: ;3+_� r-7, r
- 5 -
City of Dort Worth, Texas
Mayor and Council Communication
DATE REFERENCE SUBJECT: Taxicab Rate Increase and Rati- PAGE
NUMBER fication of D/FW Airport SURTRAN Policy Iof 2
3/27/79 G-4110 Committee Action
The Utilities Supervisor has completed his investigation of the request from
the Fort Worth Cab and Baggage Company to increase its local rates which was
presented to the City Council on January 16, 1979 (M&C G-4038). The public
hearing was held, and other aspects of the staff investigation are included
in the attached report which, in summary, finds that an increase appears to
be justified. The basic fare structure as recommended in.the report is less
than that proposed by the company, and provides for the following basic rates:
$1,40 for the "flag-drop" initial period (14 mile)
.20 for each additional 34 mile (80t/mile)
.50 per additional passenger (child free)
.20 per V1 minutes for "waiting time" or "traffic delay" ($8.00/hour)
Although the above rate structure is less than that requested by the company
and will produce smaller revenues, it is recommended as one that would have a
lesser impact upon the consumer. This rate structure is similar to that
recently approved by the City of Dallas which became effective February ,
1979, and to that rate approved by the D/FW Airport SURTRAN Policy Committee
on February 16, 1979.
As a further change in the Taxicab Ordinance, it is recommended that the pay-
ment method of taxicab street rental be changed from $1,000 per company
annually, to $1.25 per month per cab, payable quarterly, to avoid a somewhat
inequitable treatment of Poor Boy Cab Company, which operates a smaller number
of cabs (12 cabs vs. 66 cabs of Fort Worth Cab Co..) , but has been paying the
full fee of $1,000 per year.
Attached to this communication is a copy of an excerpt from the minutes of
the February 16, 1979, meeting of the D/FW SURTRAN Policy Committee, which
approved the rates for taxicab service at D/FW Airport subject to concurrence
of the D/FW Airport Board and the two City Councils. The Dallas City Council
in session February 21, 1979, ratified the actions of the D/FW Policy Committee
and the D/FW Airport Board.
Recommendation
It is recommended that:
1. The City Council approve changes in the Taxicab Ordinance to
include:
a. The new increased rate schedule as described herein;
b. Changing the method of taxicab "Street Rental" annual
charges; and
DATE REFERENCE SUBJECT: Taxicab Rate Increase and Rati- PAGE
NUMBER
3/27/79 G-4110 fication of D/FW Airport SURTRAN Policy 2 of 2
Committee Action
2. The City Council ratify and approve the actions taken by
the D/FW Airport SURTRAN Policy Committee on February 16,
1979, in establishing the SURTRAN Taxi rate schedule.
RHA:ms
Attachments
SUBMITTED FOR THE
CITY MANAGER'S' DISPOSITIOY COUNCIL: PROCESSED BY
OFFICE BY: ErAPPROVED , v`
ORIGINATING
❑ OTHER (DESCRIBE)
_
DEPARTMENT HEAD: Arthur R. Petersen �� r 1 �'I CITY SECRETARY
FOR ADDITIONAL INFORMATION
CONTACT: Richard H. Au hinbau h ext. 67118 '� DATE
INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 3304
�IP TFgFe
��Ef0J?J1 To the Mayor and Members of the City Council May 4, 1979
V � =
%T6xAy. Subject: TAXICAB RATE INCREASE: M&C G-4110, MARCH 27, 1979;
,°" INFORMAL REPORT NO. 3300, APRIL 26, 1979
The only remaining part (1) of M&C G-4110 requiring Council's action is the
approval of a specific rate structure. The M&C has been placed on the
Council's agenda on May 8, 1979, for action.
Informal Report No. 3300, transmitted to the City Council on April 26, 1979,
provided two statistical studies and a revised ordinance reflecting a rate
"no higher than the Dallas rate - $1.30 flag-drop and 70C per mile" and which
provided for the monitoring of levels of taxicab service by the City staff.
During the proceedings in the Pre-Council session on May 1, 1979, two speci-
fic rates, lower than the rate originally recommended in the M&C, were dis-
cussed. It was called to the attention of the staff that two mathematical
errors were contained in Attachment B to Informal Report No. 3300. These
errors have been corrected and Attachment B herein has been revised to reflect
the net income that the three respective rate structures would produce.
The following tabulation summarizes the estimated results of the three dif-
ferent rate structures:
Would Produce Net
Income of:
A. Original G-4110 $1.40* and 80C mile $ 8,496
Recommendation
B. Dallas and Airport $1.30* and 70C mile ($71,480) (loss)
Rate
C. Alternative Rate $1.30* and 80C mile ($ 6,814) (loss) ,
i
* The "flag-drop" or initial period.
After further study of the alternative rate structures, staff recommends that
the City Council adopt Rate Structure C. The staff believes that the adoption
of this rate schedule is a proper response to maintaining the current taxi service
in Fort Worth and will provide a level of service necessary to meet the demands of
its citizens.
Attachment C to Informal Report No. 3300 is a survey of taxicab rates in
Texas and the United States and has been revised to show the ride-cost at the
new rate, and the percentage increase for a five-mile trip (34%) .
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS
INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 3304 - Page 2
May 4, 1979
�oE 40P'. To the Mayor and Members of the City Council
F. H
V �S
„r{ExP`9• Subject: TAXICAB RATE INCREASE: M&C G-4110, MARCH 27, 1979;
er3 INFORMAL REPORT NO. 3300, APRIL 26, 1979
An ordinance encompassing all of the matters contained in M&C G-4110 has
been prepared for the signature and approval of the City Attorney on his
return from Washington on May 7, 1979.
If any additional information is desired, it will be furnished upon
request.
Respectfully submitted,
g�� L. "
L. Herchert
City Manager
RLH:ms
Attachment
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS
TAXICAB RATE STUDY
IN THE MATTER OF
FORT WORTH CAB AND BAGGAGE COMPANY
TO INCREASE RATES
MARCH 20, 1979
Department of Law
Utilities Supervisors Office
TAXICAB RATE STUDY
Histcry and Introduction:
The last rate change for the Fort Worth Cab and Baggage Company was granted by
the City Council on November 24, 1975, effective on November 30, 1975 (M&C
G-2877 , Ordinance 7266) .
The company requested the current increase in rates on January 9, 1979 and the
City Council called a public hearing and requested a staff investigation and
report. (M&C G-4038) . The hearing was duly advertised and held on January 31 ,
1979, and was sparsely attended. The only persons attending the hearing were two
representatives of applicant , Fort Worth Cab and Baggage Company, and one
applicant from Poor Boy Cab Company, Incorporated, all of whom testified as to
increased costs of rendering service. No other consumer representatives appeared
at the hearing.
1. Mr. Charles Needham, Vice-President of Fort Worth Cab and Baggage
Company, presented an exhibit summarizing the percentage cost in-
creases affecting the Company since the 1975 rate increase.
2. Mr. Fran Moore, the company' s accountant presented an exhibit showing
that the requested increase would amount to a net increase of 6.28
percent, after deductions for drivers ' commissions and other addi-
tional expenses.
3. Mr. Archie Clark, Vice-President of the Poor Boy Cab Company, Inc. ,
testified to his company' s need for greater earnings.
The staff' s investigation indicates that operating costs are increasing faster
than revenues and some of the major cost components give indications of a
continuation of the upward trend, particularly the costs for gasoline, other
fuels and vehicles.
The company' s annual reports to the Utilities Supervisor indicate a continuing
poor condition, and the prol"it and loss statement (Attachment A) for the most
recent period, the year ending January 31 , 1979 , shows the largest loss in the
past 8 years, as summarized below:
Year Other Net
Ending Revenues Expense Income Income
(Loss)
1-31-72 $ 935,268 $ 956,212 $ (1 ,220) $ (22,164)
1-31-73 876,082 885,782 4,623 (5,082)
1-31-74 946,036 885,782 -0- (12,539)
1-31-75 1 ,085,376 1 ,044,170 -0- 41,206
1-31-76 967,634 982,759 250 (14,875)
1-31-77 1 ,078,247 1 ,088,418 -0- (10,171)
1-31-78 1 ,172 ,443 1 ,204,181 15,220 (16,518)
1-31-79 1 ,187,715 1 ,244,072 1 ,550 (54,807)
2
Rate Discussion:
Taxi cab or other transportation rate structures are similar to other utility
rate structures in that they follow "cost of service" principles, which provide
for customer costs, "demand" costs, and the "commodity components" of the rate.
In a bus or taxi fare, the initial charge is in the cost of the bus ride or in
the taxi' s "flagdrop" initial period allowance. In the transportation industry,
future revenue projections should be tempered to include a known patronage
resistance-to-fare-increase loss. Historical records of the Fort Worth taxi
industry indicate such resistance losses at about 10%.
Other differences occur between transportation companies and pulic utilities
with respect to regulation. Utilities are customarily permitted to earn a fair
"rate of return" based upon the value of physical property used and useful in
providing utility service. In the transportation industry, however, the
relationship between expense and revenue expressed as "Operation Ratio", and is
a more usual measurement criteria. An operating ratio of 95%, (expenses
revenue) would indicate the company had 5% left after payment of expenses. The
"Rate of Return" relationship between net income and value of public utility
physical property is seldom used in transportation industries because of the
usually small investment value in relation to net earnings.
The taxi company is regulated only by the City of Fort Worth, and is not
considered a utility in the sense of other public utilities; however both the
City Charter (Chapter XXVII) and Code of the City of Fort Worth (Chapter 34,
Vol. II) provide for th:j regulation of rates and services of the taxicab and
transportation companies.
The staff has attempted a study to determine how much additional revenue would
be necessary to enable the company to offset expenses and earn some profit.
Several alternative rate schedules were tested and matched with anticipated
increased expenses to develop a pro forma "test year" to determine various
levels of net revenue, with the year ending January 31 , 1979 used as a base.
In addition to the drivers ' commissions, amounting to 42-1/2% of the gross
revenue increase, the following estimated cost increases were used in the study:
Estimated
1 . Payroll and other tax expenses $15,000.00
2. Increased depreciation op 22 new
taxicabs (4 diesel and 18 gasoline) 22 ,000.00
3. Gasoline, taxis, parts, utilities and
other operating costs 16,000.00
4. Workers compensation, insurance, and
effect of Minimum Wage increase 10,000.00
5. Conversion of 66 cab meters to
1/4 mile increments ($50.00 per cab) $ 3 ,300.00
TOTAL $66 ,300.00
The revenue projections for the study, were based on the Company' s requested
increase and three alternative staff rate structures with slightly reduced "flag
drop" initial period charges. Other rate studies were made, to test the effects
of the present .60 mile and the .70 mile, but neither of these would produce
enough revenue to offset the estimated increased expenses.
L�
In computation of the increased revenues from the alternative rate structure, a
12-1/2% patronage "resistance loss" factor was used. The actual loss may be
higher or lower than this figure.
The staff' s proposed rate includes increases in:
a. the initial period "flag drop";
b. the mileage cost $0.20/ 1/4 mile, or $0.80 per mile;
C. increase in "extra passenger" cost from .25 to .50;
d. increase in "traffic delay" and waiting time (to .20 per 1-1/2 minutes
= $8.00/hour) .
The tabulation below compares basic rates:
Company' s requested: $1.50 flagdrop, .80 mile
Staff alternative rate-1 1 .45 flagdrop, .80 mile
Staff alternative rate-2 1.40 flagdrop, .80 mile
Staff alternative rate-3 1 .35 flagdrop, .80 mile
The percentage increases on trip costs in the four rate proposals vary as
follows:
1 Mile 5 Miles* 10 Miles
Company: 50% 40% 37%
Staff 1 : 54% 39% 36%
Staff 2: 43% 37% 36%
Staff 3: 39% 36% 35%
-; The average ride-length in 1978 was 4.7 miles.
5
The detailed study in Attachment B details the pro forma test year effects of
the company' s and the staff' s three rate proposals. The study results, in
summary below, indicate the following earnings levels as related to "operating
ratio" (expense + revenue) and Rate of Return on property value of $227,497 as
found in Attachment A.
Net Operating Rate of
Revenues Expenses Income Ratio Return
Company $1 .50/80¢ 1 ,441 ,482 1 ,418,293 24,809 98.4% 10.9%
Staff 1 $1 .45/80¢ 1 ,427 ,293 1 ,412,293 16,550 98.95% 7.27%
Staff 2 $1 .40/80¢ 1 ,413 ,111 1 ,406,186 8,475 99.5% 3.7%
Staff 3 $1 .35/80¢ 1 ,398,929 1 ,400,138 341 100. 1% ---
Based upon the above estimated figures, it would appear that Staff Alternative 2
($1 .40 and .80 per mile) would be the rate recommended. This would provide a
small net increase to the company, but would have a lesser impact upon the
riders. The rate increase will possibly help to improve service by permitting
financing of additional new cabs and equipment, and the greater driver
commissions from the increased rates will enable the company to secure more
drivers to provide better service.
Staff Alternative Rate 2 would provide for a degree of parity with respect to
other metroplex area taxi service and rate structures. A rate increase was
approved in Dallas for its three companies and for SURTRAN Taxi at D/FW Airport
effective February 16, 1979. The Dallas rates are: $1 .30 "flag drop"; .70/mile,
and .50 per additional passenger and $1 .00 for additional passengers at night.
Arlington and Grand Prairie recently approved a taxi increase, with a similar
rate ($1 .00 "flag drop"; .80/mile and .50 extra passenger charge) . The
comparison in Attachment C of taxi rates in Texas and other major cities
6
indicates that the recommended rate is slightly higher than average but still
within the range of the other cities.
Fort Worth is perhaps unique among some of the other cities with respect to taxi
cab operations. Fort Worth is high in its preponderance of transportation of
local citizens as opposed to tourist or visitors. For this reason, service in
Fort Worth is oriented on an all-areas-of-the-City basis rather than
specializing in convention visitor and night spot transportation needs. The Fort
Worth Cab and Baggage Company was authorized in 1975 to change its methods of
operation from a sole company-owned/company-driver-employee operation to a lease
or contract operation wherein drivers would own their own vehicles and lease
dispatching and other affiliated services from the Company. Dallas has within
the past several years changed to this lease-contract operation and as a result,
City officials report that service to the outlying parts of the city has
suffered and deteriorated as a result.
In a driver-owner, or lease operation, much of the Company' s control over the
drivers is eliminated; many driver/owners, like the legendary independant New
York cabbie only take calls they choose to take and frequently ignore the
distant neighborhood-area calls to the detriment of such patrons therein, and
the dispatcher is powerless to order the driver to a particular location which
may be distant and not financially rewarding.
In the staff' s preparation of the 1975 Ordinance 7266, action was taken to
reduce the taxi company' s "Street Rental Payment" burden to a flat $1 ,000.00
annual fee. It was not anticipated, at that. time, that this would cause an
inequitable situation to the smaller cab comoany, "Poor Boys Cab Company,
Incorporated; Fort Worth Cab operates 66 taxicabs (equivalent to $1j. 15 per cab,
annually) while Poor Boy, operating only 12 cabs presently, must pay $83.33 per
cab annually. It would seem to be more equitable to charge on a "per cab" basis
in the future, payable monthly or quarterly. This would reduce the cities
revenues slightly, from the present $2 ,000.00, to $1 ,182.00 a difference of
$818.00.
It would be the recommendation of the Utilities Supervisor that the rate
schedule described herein as Alternate Rate 2 be approved for implementation in
Fort Worth, that the method of "Street Rental" to the City be changed to a more
equitable "per cab" basis, and that the City Council ratify the actions taken by
the D/FW Surtran Policy Committee on February 16, 1979 in establishment of the
rates for taxicab service at D/FW Airport.
8
Attachment "A"
FORT WORTH CAB & BAGGAGE COMPANY
Fort Worth, Texas
INCOME STATEMENT
FOR 12 MONTHS ENDED JANUARY 31 , 1979
INCOME
Taxicab Fares $ 1 ,172,161
Baggage Revenue 180
Shop 2 ,416
Miscellaneous 12 ,959
Gross Income $ 1 ,187,715
EXPENSES
Operations and Maintenance $ 1 ,090,447
General and Administrative 153,626
Total Expense (Attachment A (2) ) $ 1 ,244,072
OTHER INCOME
Gain on Sale of Depreciable Assets 1 ,550
NET LOSS FOR PERIOD $ (54,807)
Physical property used in taxicab business $ 616,503
Less Reserve for Depreciation 389,006
Property, less Depreciation $ 227,497
FORT WORTH CAB & BAGGAGE COMPANY `
FORT WORTH, TEXAS
OPERATIONS AND MAINTENANCE EXPENSES
FOR 12 MONTHS ENDED JANUARY 31 , 1979
SALARIES AND COMMISSIONS
Cab Drivers $ 494,414
Traffic 89,823
Shop 98,160 $ 682,397
GASOLINE, OIL & GREASE 150,965
REPAIR PARTS & MAINTENANCE
Mobile Equipment 81 ,426
Radio Equipment 7,749
Meters and Miscellaneous 2,901
Miscellaneous 11 ,265 103 ,340
TIRES AND TUBES 10,099
RENTALS 24,000
TELEPHONE 18,660
TAXES
Payroll 48,635
Ad Valorem 7 ,521
Street 1 ,000
Sales 128 56,785
LICENSES AND FEES 4,044
DEPRECIATION
Taxicabs and Trucks 36,727
Radio Equipment 1 ,649
Garage Equipment 75 38,450
AMORTIZATION OF LEASEHOLD EXPENSE 179
MISCELLANEOUS SHOP EXPENSE 1 ,026
TOTAL OPERATIONS AND MAINTENANCE EXPENSES $1 ,090,447
GENERAL AND ADMINISTRATIVE EXPENSES:
SALARIES
Office $ 15,689
Officers 25,800 $ 41 ,489
ADVERTISING 2,684
INSURANCE
Worker' s Compensation 25,284
Liability 22 ,362
Other 2,566
Employees ' Hospital & Life 5,692 55,905
OFFICE SUPPLIES & EXPENSES 8,495
LEGAL AND ACCOUNTING 9,035
UTILITIES 10,961
DAMAGES AND CLAIMS 14,023
DEPRECIATION - OFFICE EQUIPMENT 526
TRAVEL AND ENTERTAINMENT 258
INTEREST EXPENSE 6,505
CONTRIBUTIONS 467
DISCOUNTS, ALLOWANCES _&_BAD CHECKS 492
MISCELLANEOUS EXPENSE 1 ,829
TAXES - FRANCHISE 319
DUES AND SUBSCRIPTIONS _ _ 640
TOTAL GENERAL & ADMINISTRATIVE EXPENSES $ 153,626
TOTAL EXPENSES: $1 ,244,072
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SURVEY OF TAXICAB RATES
TEXAS CITIES
A B C D
INITIAL SUBSEQUENT FOR A FIVE
METER 1st MILE MILEAGE MILE
CITY CHARGE CHARGE CHARGE TRIP
Amarillo $ .70 $ 1.20 $ .60 $ 3.60
Austin .80 1.40 1 .60 4.60
Dallas (new) 1.30 1.80 .70 4.60
Fort Worth
(Proposed) 1 .40 2 .00 .80 5.20
Fort Worth (old) .90 1.40 .60 3.80
Grapevine/Euless .90 1.70 1 .00 5.70
Houston .75 1.35 .60 3.75
Irving .75 1.25 .60 3.65
Tyler 1 .30 1.80 .60 4.20
Arlington and
Grand Prairie 1 .00 1.70 .80 4.90
D/FW Airport taxicabs 1 .80* 2.50 .70 5.30
OTHER U.S. CITIES
Atlanta, GA $ .60 $ 1.10 $ .60 $ 3.50
Chicago, IL .85 1.35 .60 3.35
Denver, CO .80 1.40 .60 3.80
Los Angeles, CA .80 1.40 .80 4.60
Miami, FL .80 1.40 .80 4.60
Philadelphia, PA .90 1. 70 1 .00 5.70
San Francisco, CA .90 1.70 1 .00 5.70
Seattle, WA .90 1.50 .70 4.30
;; Includes additional 50C airport surcharge.
8-73
S URTRAN
OFFICE MEMORANDUM L �L)
MAR? '; i979�
City of Fort Worth
T o: Mr. Richard Peterson, City of Fort Worth Date: March 2 l979t::C
Assistant Director of Transportation
F►om: Aleta Berry
Sua]ect: Requested Taxicab Information on Fare Increase
Enclosed is the taxicab information which will be incorporated into the
minutes of the Surtran Policy Committee Meeting held February 16, 1979.
I'm also enclosing copies of the material which had been given to the
members and the Surtran Advisory Group members in their packets before
the meeting.
If we can be of further help, please let us know.
a& �
Administrative Assistant
ab
Enclosures
ti
Mr. Jarrett presented a fare rate increase proposal requested by
Surtran Taxicabs, Inc. , which needed to be acted upon by the Surtran
Policy Committee. Mr. Jarrett further explained that the City of Dallas
had approved a fare rate increase for all Dallas cab com},"nies to became
effective March 1, 1979. He said that the City of Dallas Public Utilities
Department and the Chamber of Commerce urged that the same fare rate
structure be used for Surtran Taxicabs, Inc. Surtran Taxicabs, Inc. , pre-
sont rate structures as stated in formation previously given to Committee
Members are $1.50 initial charge, 6N for each additional mile, 50C for
each additional passenger and $6.00 waiting time with no active clock.
Rates which had been approved by the City of Dallas Council were $1.30
initial charge, 70� for each additional mile, 50� each additional passen-
ger and $8.00 traffic delay and waiting time.
It was Surtran management's recamnencl-irion that the concession fee
which is paid to D/FW Surtran System by Surtran Taxicabs, Inc. , be reduced
from the present 75� per trip to 50G because the extra fare button on the
meters would only register 50�. This was discussed by the Committee Members
and it was the general consensus to continue the 75G concession fee and to
work out a method of billing and collecting. Mr. Karl Kuhlman,president
of Surtran Taxicabs, Inc. , said that he had no objections to continue the
payment of 75G concession fee per trip to Surtran.
Mr. Jarrett reported to the Committee the constant problems occurring
in collecting the script tickets issued to the sub-contract taxi drivers.
These tickets cost $1.75 each and are to be surrendered at the exit toll
plaza if they have a passenger. Surtran derives its concession fee from
these tickets. The drivers are simply paying the 25G minimum fee upon
exiting--with or without passengers. He explained that to be sure that
all script tickets were surrendered properly would require constant
surveillance and would be expensive. After considerable discussion by
the Committee Members, it was agreed that having permits suspended and/or
revoked by violators would probably help eliminate the problem. Mr. Jarrett
said that he would continue to work with APCOA and the Airport staff to work
out a solution in collecting the script tickets, hopefully by using a daily
log sheet maintained by the APCOA agents.
i
Mr. Cothrum made the motion to approve the fare rate increase for
Tax
icabs,axicabs, Inc. , changing the rates to $1.30 initial charge, 5N for
each additional passenger, 7N for each additional mile, and $8.00 traffic
delay and waiting time, but with the stipulation that Surtran Taxicabs, Inc. ,
continue to pay the Surtran System 75G concession fee per trip. The motion
was seconded by Mr. Bradshaw and unanimously carried.
Mr. Karl Kuhlman pointed out that the new rates would have to be
approved by the Railroad Commission and that this would probably take
about six weeks.
It was agreed that P4r. Henigsman would have this proposed fare increase
presented to the Dallas City Council the following Wednesday for their
action, and Mrs. Johnson requested that 14r. Peterson have the matter pre-
sented to the Fort Worth City Council on their next council meeting day.
ORDINANCE NO.
AN ORDINANCE AMENDING ARTICLE I, TAXICABS,
CHAPTER 34, TAXIS, BUSSES AND OTHER VEHICLES
FOR HIRE, OF THE CODE OF THE CITY OF FORT
WORTH, TEXAS (1964) , AS AMENDED, BY REPEALING
SECTION 34-9 AND ENACT'iNG IN LIEU THEREOF A
NEW REWORDED SECTION 34-9 WHICH CHANGES THE
METHOD OF PAYMENT OF "TAXICAB STREET-RENTALS"
TO THE CITY; BY AMENDING AND RE-WORDING SECTIONS
34-10 AND 34-11 TO DESCRIBE METHODS OF RECORDS
AND PAYMENTS; BY REidf)
�SEtF 4�HEREOF A NEW $CIIEDULE-OF
TAXICAB RATES INCREASING BY FIFTY CENTS THE
MAX -INIPIAL MILEAGE PRICE TO BE•CHARGED
BAr-�TAXIEA$ OPZRATOR6--IN THE CITY; PROVIDING
A SEVERABILITY CLAUSE; MAKING THIS ORDINANCE
CUMULATIVE OF OTHER ORDINANCES WITH RESPECT TO
TAXICAB RATES; REPEALING ALL ORDINANCES OR PARTS
OF ORDINANCES IN CONFLICT HEREWITH; PROVIDING A
PENALTY; AND PROVIDING AN EFFECTIVE DATE.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
FORT WORTH, TP AS:
SECTION 1.
That Chapter 34, Taxis, Busses and Other Vehicles for
Hire, of the Code of the City of Fort Worth, Texas (1964) , as
amended, Article I, Taxicabs, is amended as follows:
A.
By repealing Section 34-9 and substituting a new
section designated Section 34-9, which new section
shall be and read as follows:
"Sec. 34-9. Same -- Fee; when fee payable.
As compensation or rental or license fee
for the privilege of operating upon and using
the public streets, alleys and thoroughfares
of the City in conducting and carrying on the
business of transporting pass^ngers for com-
pensation on and over such streets and thorough-
fares in taxicabs, each holder of a privilege
or grant made under the terms of this chapter
shall pay to the City an annual "Street Rental"
fee amounting to One and one-quarter dollars
($1.25) per cab per month, to be paid to the
City of Fort Worth at the office of the Public
Utilities Supervisor in quarterly payments due
and payable before April 1, June 1, October 1,
and January 1 of each year, and shall be based
upon the highest number of cabs in service in
any of the three months of the immediately pre-
ceding calendar quarter.
- 1 -
The fees provided for herein shall be in lieu
of all other fees to be paid by taxicab opera-
tors under or imposed by any other ordinance
now in force, but shall not be construed to be
in lieu of any validly assessed ad valorem taxes."
B.
By repealing Section 34-10 and substituting a new
section designated Section 34-10 which new section
shall be and read as follows:
"Sec. 34-10. Records required -- quarterly
payment report.
Each holder of a franchise or grant of privilege
shall file with the Public Utilities Supervisor a
sworn statement, together with the quarterly payment
showing the number of cabs in service each month, in
that calendar quarter for which payment is being
made, according to the following sample calculation:
July 66 cabs Fee to be paid upon:
August 68 cabs 3 (months) x $1.25 (fee)
September 70 cabs x 70 (highest number)
= 3xl.25x70 = $262.50
C.
By repealing Section 34-11 and substituting a new
section designated Section 34-11, which new section
shall be and read as follows:
"Sec. 34-11. Suspension of Privilege for
failure to make report or to
pay fee.
"Upon report to the City Council of the
failure of any grant or privilege holder to file
with the Public Utilities Supervisor a sworn
statement showing the number of cabs in service
each month comprising the calendar quarter for
which payment is being made, such payment and re-
port being due and payable no later than the 1st
days of April, July, October and December of each
year for the immediately preceding calendar quarter,
and upon report to the City Council of a failure
of any holder of a grant or privilege to pay the
prescribed street rental fee, the City Council
may, by ordinance, suspend the grant or privilege
made to the person thus in default, and such
suspension shall continue to be in full force and
effect until it shall be reported to the City
Council at a regular meeting that such omission
or default has been corrected."
- 2 -
D.
By repealing Section 34-h and substituting a
new section des 4ated Section 34-12, which new
section shall be acid read as follows:
"Sec. 34-12. *atr� enumerated; posting.
"The maximum_prAce to be charged by all taxi-
cab operators in the�City, which prices are
hereby declared to b4 fair and reasonable for
such services., shall 13e as follows:
"One dollar and �orty cents ($1.40) for the
first one-quarter mile' (1/4) or fraction thereof
traveled.
"Twenty cents ($0 20) for each additional one
quarter (1/4) mile or $ action thereof after the
first one quarter (1/4) .mile traveled;
"An additional fift cents ($0.50) for each
additional passenger beyind the original passenger
carried except there shall be no charge made if such
passenger is a child undei twelve (12) years of age.
"Twenty cents ($0.20) for each one and one-half
(1-1/2) minutes of waiting time or traffic delay time,
or each additional fractio4 thereof, or eight dollars
($8.00) per hour; and
"Eight dollars ($8.00) <<per hour for traveling time
on special trips or sightseeing tours.
"There shall be no addit"o-nal charge made for
ordinary luggage or ord}nary gs or ordinary parcels
being carried by such pAsseng or passengers. It
shall be unlawful for arty driv r of a taxicab to demand
or receive a fee or cha a for taxicab service in excess
of the rates above spec' led. owever, nothing herein
contained shall be const ued as equiring a taxicab to
carry trunks, very large package , very large parcels or
articles or objects like y to in ure or damage the taxi-
cab, it being the intent hereof t at there be no additional
charge made for any or inary reels or baggage.
"Each and every taxi ab opera ed on the streets
shall have affixed theret at a to tion in plain
view of any passenger the ein a pla and setting out
the maximum legal rates f r taxicab ervice, as here-
inabove provided, and such legal rat s shall be so
shown as to be readily visible to an readable by any
occupant of such taxicab."
3 -
SECTION 2.
That this ordinance shall be and is hereby declared
to be cumulative of all provisions of the Code of the City of
Fort Worth (1964) , as amended, with respect to taxicab rates,
except in those instances where the provisions of this ordinance
are in direct conflict with such Code, in which instances said
conflicting provisions of such Code are hereby repealed.
SECTION 3.
That any driver of a taxicab who demands or received a
fee or charge for taxicab services in excess of the rates spec-
ified in Section 34-12, as hereinabove amended, Article I,
Chapter 34 of the Code of the City of Fort Worth, Texas (1964) ,
as amended, shall be punished by a fine not to exceed Two Hun-
dred Dollars ($200.00) , and each violation thereof shall be
and is hereby declared to be a distinct and separate offense
and punishable as such.
SECTION 4.
That the terms and provisions of this ordinance are
severable and shall be governed by Section 1-4 of Chapter 1
of the Code of the City of Fort Worth, Texas (1964) , as
amend-d.
SECTION 5.
That this ordinance shall be in full force and effect
from and after the date of its passage and publication as
required by law.
TPPROVEP AS TO FORM AND LEGALITY:
City Attorney
- 4 -
}
ATTACHMENT B
(ro In F. R4ort*33ao)
Corrected and P V 1SE D M 4 C.-G- 4110
TAXI ke-u nn►ended
COMPARISON OF EFFECTS FLat�:
OF STAFF'S $1.40/800 VS. DALLAS $1.30/700
Staff Dallas Alternate
$1 .40/80¢ $1.30/70a $1.30/80¢
(A) (B) (C)
I
1. Flag drop (324,165) $ 388,998 $ 356,582 $ 356,852
2. Paid miles (1,269,708) 1,015,766 888,796 1,015,766
3. Additional passenger 46,356 46,356 46,356
4. Night premium -0- 5,000 -0-
1,451,121 1,296,734 1,418,704
5. Less 12k% patron loss 181,390 162,092 177,338
6. Total less patron loss 1,269,731 1,134,642 1,241,366
7. Less 78 revenue* 1,044,335* 1,044,335* 1,044,335*
8. (6 - 7) 225,396 90,307 197,031
9. Total Rev. 1-31-79 1,188,715 1 ,188,715 1,188,715
10. (8 + 9) 1,413,111. 1,279,022 1,385,746
11. Driver Comm. (42�% of 8) 95,793 38,380 83,738
12. Other expenses 66,300 66,300 66,300
13. Addt'1 meter parts
for 1/7 mile -0- 3.,300 -0-
14. Total Exp.1 a-31-79 1,244,072 1,244,072 1,244,072
15. Total Adj. Exp. �At,/�►(o
(11+12+13+14) , 1,352,052 1,394,110
73 030
16. Rev. less Exp. (10-15) -(W 198e)- (8,364)
17. Sale of old equip. 1,550 1,550 1,550
18. Net income: r-@;s`tT (106,Za *
) (6,814) iDK
_ ��9 .• (71 Note: $1.35 +
800 mile
would produce
a net income
of $341. OK
* Present Rate: 1978 Rev. Calc.
1. $259,332
2. 761,825
3. _ 23,178
TOTAL$1,044,335
Attachment "C"
M & C - G -4110
REVISED 5-4- 79
REVISED SURVEY OF TAXICAB RATES
TEXAS CITIES
A B C D
INITIAL SUBSEQUENT FOR A FIVE
METER 1st MILE MILEAGE MILE
City CHARGE CHARGE CHARGE TRIP
Amarillo. $ .70 $ 1.20 $ . 60 $ 3.60
Austin .80 1.40 .80 4. 60
Dallas (new) 1.30 1.90 .70 4.70
Fort Worth 1.40 2 .00 .80 5.20-(379;Incrs.)
(Proposed)
Alternate Proposal 1.30 1.90 .70 4.70-(24% Incrs.)
03�� Zq� % Incrs.�
Fort Worth (old) .90 1 0- - .60
Grapevine/Euless .90 1.70 1.00 5 .70
Houston .75 1.35 .60 3.75
Irving .75 1.25 .60 3.65
Tyler 1.30 1.80 .60 4.20
Arlington and
Grand Prairie 1.00 1.70 .80 4.90
D/FW Airport
taxicabs 1.80* 2.40 .70 5.20
OTHER U. S. CITIES
Atlanta, GA $ .60 $ 1.10 $ .60 $ 3 .50
Chigaco, IL .85 1.35 .60 3.35
Denver, CO .80 1.40 .60 3.80
Los Angeles, CA .80 1.40 .80 4.60
Miami, FL .80 1.40 .80 4.60
Philadelphia, PA .90 1.70 1.00 5.70
San Francisco, CA .90 1.70 1.00 5.70
Seattle, WA .90 1.50 .70 4.30
* Includes additional 500 airport surcharge.